Monsanto shareholders have approved a proposed merger with Bayer AG. Under the terms of the merger agreement, Monsanto shareowners will receive $128 per share in cash at the closing of the merger. Monsanto CEO Hugh Grant Tuesday called the approval an “important milestone” for both companies. Bayer AG leadership says the merger will “help address the growing challenges facing farmers.” 99 percent of the votes by Monsanto shareholders were in favor of the merger, according to a Monsanto news release. The merger is subject to regulatory approval and is expected to be completed by the end of 2017. Bayer and Monsanto announced the merger agreement in September. Under the terms, Bayer AG agreed to purchase Monsanto for $66 billion.
From the National Association of Farm Broadcasting news service.
From: Monsanto
Monsanto Company (NYSE: MON) announced that at a special meeting of shareowners held today, shareowners of the company approved the merger of Monsanto with a wholly owned subsidiary of Bayer Aktiengesellschaft. Under the terms of the merger agreement, Monsanto shareowners will receive $128 per share in cash at the closing of the merger.
“We are pleased we received such strong support from our shareowners,” said Hugh Grant, Monsanto Chairman and Chief Executive Officer. “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.”
“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,” said Werner Baumann, CEO of Bayer AG. “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.”
Based on a preliminary tabulation of the shareowner vote, approximately 99% of all votes cast, which represents approximately 75% of all outstanding shares on November 7, 2016, the record date for the special meeting, were voted in favor of the merger. Monsanto shareowners also approved the proposal to approve, on an advisory (non-binding) basis, certain compensation that may be paid or become payable to the Company’s named executive officers in connection with the merger. The final voting results on all agenda items will be filed with the SEC in the company’s Form 8-K and will also be available at http://www.monsanto.com/investors/pages/default.aspx.
The transaction is subject to customary closing conditions, including the receipt of required regulatory approvals. Bayer, with the support of Monsanto, has now submitted a number of filings, including the U.S. Hart-Scott-Rodino Act filing. Closing is expected by the end of 2017.
Additional information about the proposed transaction may be found at: www.AdvancingTogether.com.