Monsanto may not accept Bayer’s acquisition offer

May 24, 2016

Statement released on May 24

By Diego Flammini
Assistant Editor, North American Content
Farms.com

Monsanto may reject Bayer’s $62 billion acquisition bid.

“(The) Board of Directors unanimously views the Bayer AG proposal as incomplete and financially inadequate,” the company said in a May 24 press release.

Hugh Grant, Monsanto Chairman and CEO, said the offer was lacking in two areas.

“The current proposal significantly undervalues our company and also does not adequately address or provide reassurance for some of the potential financing and regulatory execution risks related to the acquisition,” he said in the release.

Rejected

Monsanto said its open to conversations regarding possible transactions but won’t comment any further.

According to some industry experts, the ball is back in Bayer’s court.

Sanford C. Bernstein & Co.’s Jonas Oxgaard, an analyst with the New York-based office, told Bloomberg that any offers below $135 per share would be tough for Monsanto to agree to; Bayer’s original offer was $122 per share, which represented a 37 per cent premium.

According to data from Thomson Reuters, the deal between Monsanto and Bayer could be the largest all-cash takeover in history.

That title is currently held by InBev SA’s $60.4 billion offer for Anheuster-Busch in June 2008.

Video: Dr. David Rosero: Fat Quality in Swine Diets

In this episode of The Swine Nutrition Blackbelt Podcast, Dr. David Rosero from Iowa State University explores the critical aspects of fat quality and oxidation in swine diets. He discusses how different types of lipids affect pig performance and provides actionable insights on managing lipid oxidation in feed mills. Don’t miss this episode—available on all major platforms.

Highlight quote: "Increasing levels of oxidized fats in swine diets reduced the efficiency of feed utilization, increased mortality, and led to more pigs being classified as culls, reducing the number of full-value pigs entering the finishing barns."

Meet the guest: Dr. David Rosero / davidrosero is an assistant professor of animal science at Iowa State University. His research program focuses on conducting applied research on swine nutrition and the practical application of smart farming. He previously served as the technical officer for The Hanor Company, overseeing nutrition, research, and innovation efforts.