Bayer sells to Basf activities related to the seed business for over 1,7 billion. The operation is linked to antitrust reasons and will allow Bayer to obtain the definitive go-ahead from the European authorities at theacquisition of the American Monsanto. The German giant explains that the new block of activities sold generated a turnover of 2017 million in 745 and that the agreement with BASF includes the transfer of 2.500 employees.
“With this move, we are implementing the corresponding commitments made to the European Commission and other regulatory authorities to enable the successful closing of the Monsanto acquisition – explained Werner Baumann, Chairman of the Board of Directors of Bayer – We are pleased to have found in BASF a strong buyer also for these companies, which will continue to satisfy the needs of the growers and will offer our employees long-term prospects”.
In detail, the divested businesses include the global vegetable seeds business, some seed treatment products, the research platform for wheat hybrids and some glyphosate-based herbicides in Europe which are mainly used in industrial applications.
The agreement with BASF also includes the transfer of control of three research projects in the field of broad-spectrum herbicides and Bayer's digital agriculture platforms. In return, Bayer will receive a special license for the use of certain digital agriculture applications.
“We are very grateful to our employees who have played a key role in the success of these companies over the years – continued Baumann – With this strong team, I am sure that BASF will be able to produce further innovation and growth for these companies” .
Finally, Bayer clarified that it "will continue to own, operate and maintain these assets until the close" of the Monsanto acquisition, which is expected by June. After that, Bayer will still remain active in the seed business through Monsanto's activities.
