Monsanto Reportedly Approaches Syngenta With A $45 Bln Offer

(RTTNews) - U.S.-based seed maker Monsanto Co. (MON) has approached Swiss rival Syngenta AG (SYT) with a $45 billion offer, Bloomberg reported, citing people with knowledge of the matter.

Monsanto is said to have offered about 450 Swiss francs per share, representing a 35 percent premium to Syngenta's last close. However, Syngenta rejected the offer, although it is open to Monsanto upping the offer or starting talks.

Basel-based Syngenta is the world's largest maker of crop chemicals whereas St. Louis-based Monsanto is the largest maker of seeds and dominates the global market for genetically modified crops like corn and soybeans.

It was reported late last month that Monsanto discussed its interest with Syngenta, which has a market value of about 29 billion Swiss Francs ($31 billion).

Combined with Syngenta, Monsanto would become the largest player in the world for both seeds and crop chemicals and a formidable competitor to Bayer AG, BASF SE and Dow Chemical Co.

The companies reportedly held preliminary talks last year with advisers about a combination, before Syngenta's management decided against negotiations. No agreement was made after concerns were raised about the strategic fit, antitrust issues and relocating the company.

To address antitrust issues, Monsanto has planned for a deal that would include a sale of portions of the combined business. The U.S. company last year reached out to potential bidders of those assets, including Bayer.