Monsanto Company and The Scotts Miracle-Gro Company have extended their nearly two-decade long partnership in the lawn and garden consumer market.
Since 1999, Scotts Miracle-Gro, through one of its subsidiaries, has served as Monsanto’s exclusive agent for the marketing and distribution of Roundup non-selective herbicides in the consumer lawn and garden market within the United States and select international markets.
Today’s agreement will unlock additional value in the Roundup brand in the lawn and garden segment by providing Scotts with an extended license to use the Roundup brand in new lawn and garden product categories and broaden their marketing rights into new geographies, the companies report.
As part of the extension, Monsanto also renewed and expanded the terms of its marketing agreement with Scotts and provided preferred access to Monsanto’s research and development pipeline for lawn and garden.
“This agreement highlights the value of the Roundup brand and extends the relationship with a long-term, trusted partner,” says Kerry Preete, Monsanto executive vice president of Global Strategy. “It also further demonstrates our commitment to our broad licensing strategy.”
Under the agreement, Scotts will pay Monsanto a one-time upfront payment of $300 million in exchange for a Roundup brand license, extended agency agreement and technology agreement.