Bayer and Monsanto merged to lead in agricultural solutions
The Bayer company has acquired Monsanto through a merger agreement, initialed on 14th September, with both companies aim to consolidate its global leadership in agriculture and realize their shared vision of representing comprehensive offer to the farmer, to provide better solutions and a generator engine innovations for future farming.
Speaking of Werner Baumann, chairman of the Board of Management of Bayer AG, the merger of these two great companies “will be a huge step forward for our area Agrociencias will strengthen the leading position of Bayer as bioscience company driven by innovation with positions leadership in its key segments, and will provide substantial shareholders, customers, employees and society as a whole value“.
Meanwhile, Hugh Grant, chairman and CEO of Monsanto, said that “this operation bears witness to everything we have achieved and the value we have created in Monsanto for our shareholders. We are convinced that the merger with Bayer is the offer more attractive to them and the method of payment in cash provides the greatest degree of certainty “.
Comprehensive service to farmers
With the transaction two different but highly complementary businesses merge. The joint venture will take advantage of the leadership of Monsanto in the field of seeds and traits and its business climate platform, on the one hand, and the wide range of products crop protection Bayer for a large number of indications and crops in all key geographic areas, on the other.
The merger also will combine the capacity for innovation and technology platforms for R & D leaders from both companies, with pro forma annual budget of 2,500 million euros, approximately.
A medium to long term the joint venture will provide customers with innovative solutions and a range of products optimized on the basis of analytical findings and supported by agronomic applications of digital agriculture. This is expected to result in sustained significant benefits for farmers, which will range from better supply and greater comfort to a higher performance and better environmental protection and sustainability.
“The agricultural sector is facing one of the biggest challenges of our time: how to feed 3.000 million people by 2050 in a sustainable manner for the environment Both companies are convinced that this challenge requires a new approach that integrates. more systematically the expertise in seeds, traits and crop protection (biological including products), with a strong commitment to innovation and sustainable agricultural practices”, said Liam Condon, a member of the Board of Management of Bayer AG and head of the CropScience division.
As a result of this merger, farmers will benefit from a wide range of solutions to meet their current and future needs, including best solutions in seeds and traits, digital agriculture and crop protection will be counted.
For the president and CEO of Monsanto, “we are entering a new era in the agricultural sector, marked by significant challenges and requires new solutions and sustainable technologies that enable farmers to produce more with less. The merger with Bayer will provide just that, an innovation engine that will join the portfolio of products for crop protection Bayer with our seeds and traits first and our tools of digital agriculture to help farmers overcome the obstacles of tomorrow. Together, Monsanto and Bayer will benefit from an tradition that is a source of pride and the respective histories of innovation in the agricultural sector to provide a broader and more diversified range of solutions to farmers, “said Grant.
The turnover pro forma joint venture amounted to 23.000 million euros in 2015. The joint venture will be well positioned to operate in the agricultural sector, which has significant potential for long-term growth.
Headquarters and employees
Area headquarters Crop Protection and general headquarters are in Monheim CropScience (Germany), while the headquarters area Seed and Traits and business headquarters for North America will be in St. Louis (Missouri, USA ), with a strong presence in Durham (NC, USA) as well as in many other places in the US and around the world. Digital Agriculture area of the joint venture will be headquartered in San Francisco (California, USA).
The merger entails an enormous opportunity for employees who will be at the forefront of innovation in the sector.
“This operation underpins Bayer’s strong commitment to the US, based on 150 years of history operating in 25 states and employing more than 12,000 people in the country. I am convinced that Monsanto will flourish as part of a of the most respected companies and that inspires greater confidence in the world, “said Baumann.
Bayer has extensive experience in successfully integrate acquisitions from a business, geographic and cultural perspective, and remains committed to its strong culture of innovation, sustainability and social responsibility.
Source: Bayer
