Tuesday, September 6, 2016

Bayer plans to increase Monsanto deal – RP ONLINE

The takeover battle for the seed company Monsanto is gaining momentum. In the discussions that led the tips of Monsanto and Bayer in recent weeks, we have continued to align, BelTA learned from consolidated districts in Leverkusen.

Meanwhile, would the number of $ 127.50 per share Monsanto on the table. The most recent official offer from Bayer in the amount of 125 dollars per share, which corresponds to a Monsanto-value of 56 billion euros, the US group had referred to as “financially inadequate” in July. But informally ran the talks continue

In order to bring the acquisition quickly and friendly to the end, possibly $ 130 were needed -. And for such a bid-increasing need of the board again the green light by the Supervisory Board it said in the consolidated financial circles continue. Basically, the inspectors were not averse. In the night of Tuesday, Bayer confirmed the report by our editorial: “Bayer confirms advanced talks Bayer would provided an amicable takeover willing to pay $ 127.50 per share Monsanto..” In July, when Bayer had increased its offer from 122 to 125 dollars per Monsanto shares, Bayer had announced: “The precise conditions of a definitive transaction agreement must be approved by the supervisory board.”

investors for September 20 invited

On September 14 comes (as reported), the Supervisory Board together. The following weekend banks want specifically inform investors, as they say in the industry. For September 20, Bayer has invited around 100 large investors to Cologne, where CEO Werner Baumann, chief financial officer and division heads at the “Meet the Management” to answer questions. Until then you will like to have taken first stakes in Leverkusen

Baumann has always stressed. “Bayer has the firm intention to complete this transaction.” A friendly takeover is less risky than an enemy. In addition, a hostile takeover would not style of the house. Time is short, because Bayer must expect harassing from Ludwigshafen. BASF, the largest German chemical company, is always good for a surprise. To date, BASF CEO Kurt Bock has only said: “We have made it quite clear that our crop protection business is not for sale.” In other forms of cooperation to set up his “no” but not


The Bayer Supervisory Board fully supports the takeover plans. First there was the group votes, who feared this would Bayer billion missing to further invest in the pharmaceutical business. But the Board argue otherwise, as is written. On the contrary could just strengthen the agrochemicals a second pillar of Bayer as a predictable weakness help Pharma

Monsanto applies a world leader in “Digital Farming”

the pharmaceuticals business (Health Care), which is currently two-thirds of the Bayer-profit, threatens the medium term a lull. If blockbusters as Xarelto lose patent protection, Bayer does not have enough new Renner in the pipeline. This grows in Leverkusen, the old fear of a hostile takeover. The affair of the cholesterol-lowering agents Baycol 2001, the Group also therefore hit so hard because the pharmaceutical business was so weak. Bayer had to fear being taken over. So what should Werner Wenning, then Executive and Supervisory Board today-boss does not want to experience again.

In addition, Monsanto is considered a world leader in “Digital Farming”, the farmers will help the optimal times and quantities of seed and to find plant protection. In Bayer’s business is still small.

Worldwide overlook investors glued to the poker. Frantically scratch hedge funds with their feet. Some are only entered in Monsanto when the takeover battle began. Currently is the Monsanto shares at $ 107

. Source: RP

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