Monsanto Looks at Another Syngenta Takeover Bid
Monsanto is reportedly examining another possible bid for Swiss rival Syngenta, after it recently withdrew a $46.6 billion proposed takeover after Syngenta rejected the move.
Monsanto chief operating officer Brett Begemann told reporters this week that Monsanto is still “having conversations” about making another attempt at a Syngenta takeover, but added that “talking and doing is two different things.”
There is still pressure on Syngenta to take further action to increase shareholder value — last week, a group of Syngenta shareholders urged the company’s board of directors to refrain from selling the vegetable and flower seeds businesses and asked for a formal meeting in order to discuss all the strategic options available to maximize value.
In its letter to Syngenta chairman Michel Demaré, the Alliance of Critical Syngenta Shareholders says that while it is “encouraged” by the recent resignation of chief executive officer Mike Mack, it says the board has not gone far enough to appease the group’s concerns. In a separate release, the group also says it is encouraged by recent media reports that Syngenta will be sold.
Begemann’s comments serve to add more speculation to the seed industry rumor mill, after recent news that Dow and DuPont are considering selling their own agriculture divisions.