ST. LOUIS, Mo. — Monsanto shareholders have approved the merger with Bayer AG. Under the terms of the merger agreement, Monsanto shareholders will receive $128 per share in cash at the closing of the merger.
The merger, which was announced in September, is expected to close by the end of 2017, pending regulatory approvals. The merger calls for Bayer to pay $57 billion to Monsanto shareholders and assume $9 billion in Monsanto debt.
“We are pleased we received such strong support from our shareholders,” Hugh Grant, Monsanto chairman and chief executive officer said in a statement. “This is an important milestone as we work to combine our two complementary companies and deliver on our shared vision for the future of agriculture. By bringing together our expertise and our resources to drive this shared vision, we can do even more together to benefit growers around the world and to help address broad global challenges like climate change and food scarcity.”
A preliminary count of the shareholder vote showed approximately 99 percent of all votes cast were in favor of the merger. That represents about 75 percent of all outstanding shares. Monsanto shareholders also approved the proposal to approve certain compensation for the company’s named executive officers in connection with the merger. The final voting results will be filed with the SEC and will also be available here.
“The acquisition of Monsanto is driven by our strong belief that this combination can help address the growing challenges facing farmers and the overall agriculture industry today and in the future,” Werner Baumann, CEO of Bayer AG said in a statement. “Together, Bayer and Monsanto will be able to offer the new, innovative solutions that our customers need. We look forward to completing the transaction and working closely with Monsanto to ensure a successful integration.”
For more on the Monsanto deal, click here.
The author is managing editor of Lawn & Landscape magazine, PCT's sister publication.