Bayer’s Supervisory Board to Meet on September 14 to Discuss Monsanto Deal
05 Sep 2016 --- Bayer senior executives are expected to make a decision on September 14 on whether the German company should increase its $64bn offer for Monsanto or mount a hostile takeover bid.
According to a report in the German daily title Rheinische Post, Bayer's supervisory board will meet to discuss what option is the best to pursue over a deal which will lead to the combined entity controlling a large proportion of the world's pesticide and US corn seeds market.
However, the proposed deal has caused much controversy from protesters who have waged a campaign of hate against Monsanto since it began developing genetically modified crops over 20 years ago.
The German paper said it had spoken to senior company sources about the impending meeting.
Bayer, which is due to hold an investor conference on Cologne on September 20, declined to comment.
It had been previously reported that Monsanto had given Bayer access to look at its books after previously turning down its improved $64bn offer.
Monsanto described Bayer's improved $64bn offer, which it made in July this year, as "financially inadequate".
However, Monsanto said it "remains open to continued and constructive conversations with Bayer and other parties”.
Bayer made its first offer of $62bn in May this year then increased it to $64m amid reports that Monsanto was talking to rival bidders.
Werner Baumann, Bayer chief executive, has previously said its proposed takeover of Monsanto will be a "marathon rather than a sprint".
Bringing together Bayer and Monsanto would form a company with a diverse portfolio making products such as Aspirin, Alka-Seltzer and crop genetics and a range of agricultural products.
It would mean that Bayer could tie-up its crop science franchise with Monsanto’s biotechnology and seed products, including its chemical spray Roundup.
According to Morgan Stanley, the combined entity would control around 28 percent of the world's pesticides and 36 percent of US corn seeds.
