BERN: Swiss farm chemicals powerhouse Syngenta said on Friday it had rejected a $45-billion takeover bid by US seed giant Monsanto, saying the offer was too low.Restructuring costs dent Syngenta profits for 2014 (04 Feb 15).
In a statement, Syngenta confirmed April reports that Monsanto had made an offer for a merger that would have formed a world market leader in both seeds and crop chemicals. “The Board of Syngenta confirms that it has received an unsolicited proposal from Monsanto to acquire the company at a price of 449 Swiss francs ($486) per Syngenta share with approximately 45 percent in cash,” said the statement.
“The offer fundamentally undervalues Syngenta’s prospects and underestimates the significant execution risks, including regulatory and public scrutiny at multiple levels in many countries,” it said. Syngenta shares soared after the news on the Swiss stock exchange, rising to 381.90 francs at 9:28 am a 14.7 percent rise over Thursday’s close.
