Farms.com Home   News

BASF signs agreement to acquire significant parts of Bayer's seed and non-selective herbicide businesses

  • Strengthens and expands BASF's Agricultural Solutions offer
     
  • Attractive and targeted portfolio additions in key row crops in select countries
     
  • Underpins BASF's commitment to agriculture, innovation and long-term growth
BASF has signed an agreement to acquire significant parts of Bayer's seed and non-selective herbicide businesses. Bayer intends to divest these assets in the context of its planned acquisition of Monsanto. The all-cash purchase price is €5.9 billion, subject to certain adjustments at closing. The assets to be acquired include Bayer's global glufosinate-ammonium non-selective herbicide business, commercialized under the Liberty®, Basta® and Finale® brands, as well as its seed businesses for key row crops in select markets: canola hybrids in North America under the InVigor® brand using the LibertyLink® trait technology, oilseed rape mainly in European markets, cotton in the Americas and Europe as well as soybean in the Americas. The transaction also includes Bayer's trait research and breeding capabilities for these crops and the LibertyLink® trait and trademark.
 
For the full year 2016, sales of the business to be purchased from Bayer amounted to around €1.3 billion and EBITDA to around €385 million. The transaction is subject to the closing of Bayer's acquisition of Monsanto and approval by relevant authorities. It is expected to close in the first quarter of 2018.
 
"With this investment, we are seizing the opportunity to acquire highly attractive assets in key row crops and markets. It will be a strategic complement to BASF's well-established and successful crop protection business as well as to our own activities in biotechnology," said Dr. Kurt Bock, Chairman of the Board of Executive Directors of BASF SE. "The acquisition will further enhance our agricultural solutions offer, which is a core pillar of BASF's portfolio."
 
The acquisition complements BASF's crop protection business, strengthening the company's herbicide portfolio and marking its entry into the seed business with proprietary assets in key agricultural markets. "Building on the competent new team members and the enhanced portfolio, we will offer farmers a greater choice of solutions addressing their needs for high-quality seeds, chemical and biological crop protection," explained Saori Dubourg, Member of the Board of Executive Directors of BASF SE and responsible for the Agricultural Solutions segment. "Moreover, this transaction will create new opportunities for future growth and strengthen our global innovation potential."
 
Source : BASF

Trending Video

What's Going on at the Oklahoma Youth Expo?

Video: What's Going on at the Oklahoma Youth Expo?

SUNUP heads to the Oklahoma Youth Expo to meet with some participants and Jim Rhodes, OSU Extension west district 4-H program specialist, to see what makes this event so special!