June 2, 2016

Monsanto: Bayer's acquisition proposal "financially inadequate"

Monsanto has announced that its Board of Directors unanimously views the Bayer AG proposal - to acquire the corporation - as incomplete and financially inadequate.

However, Monsanto is still open to continued and constructive conversations to assess whether a transaction in the best interest of Monsanto shareowners can be achieved.

"We believe in the substantial benefits an integrated strategy could provide to growers and broader society, and we have long respected Bayer's business," said Hugh Grant, Monsanto's chairman and CEO. "However, 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."

According to Monsanto, there is no assurance that any transaction will be entered into or consummated, or on what terms. Its Board of Directors has not set a timeline for further discussions.