Bayer CropScience Limited completed the acquisition of 18% stake in Monsanto India Limited from the shareholders.
September 16, 2019
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Bayer CropScience Limited (BSE:506285) agreed to acquire an additional 18% stake in Monsanto India Limited (NSEI:MONSANTO) from the shareholders for INR 41.9 billion on November 14, 2018. The transaction shall be carried out as per a scheme of amalgamation between the parties. The consideration shall be settled by issuance two equity shares of Bayer CropScience for every 3 shares held in Monsanto India. Presently, Bayer CropScience holds 1.35 million shares representing 7.82% stake in Monsanto India. Upon completion, the companies shall be amalgamated and the combined business shall operate under BAYER brand. The transaction is subject to approval of the stock exchanges for listing and trading in the consideration shares, Securities and Exchange Board of India, shareholders and creditors of each of the parties, National Company Law Tribunal Bench at Mumbai and various statutory approvals. The Board of Directors of Bayer CropScience approved the transaction as of November 14, 2018. As of February 22, 2019, the scheme of amalgamation has been filed with the National Company Law Tribunal Bench at Mumbai on February 21, 2019. As of April 22, 2019, National Company Law Tribunal Bench at Mumbai ordered to convene the shareholders meeting of Bayer CropScience Limited shareholders. As of May 3, 2019, Bayer CropScience Limited shareholders issued notice to its shareholders for general meeting to be held on June 3, 2019. The scheme was approved by the shareholders of Bayer CropScience and Monsanto India at me National Company Law Tribunal convened meeting of shareholders held on June 3, 2019 and June 4, 2019 respectively. The scheme Is pending final approval from NCLT. Mumbai Bench of the National Company Law Tribunal has approved the transaction on September 13, 2019. The appointed date of the scheme is April 1, 2019, as set out in the scheme and approved by NCLT. All the assets and liabilities of the Company shall become assets and liabilities of BCSL with effect from the appointed date. Ernst & Young Private Limited, Investment Banking Arm acted as financial advisor for Bayer CropScience. S.R. Batliboi and Company and Bansi S. Mehta & Co. acted as accountants for Bayer CropScience. ICICI Securities Limited (NSEI:ISEC) acted as fairness opinion providers for Bayer CropScience.
Bayer CropScience Limited (BSE:506285) completed the acquisition of 18% stake in Monsanto India Limited (NSEI:MONSANTO) from the shareholders on September 16, 2019. As of September 24, 2019, record date for determining the shareholders to receive shares of Bayer CropScience Limited has been extended to September 30, 2019.
Monsanto India Limited is an agricultural company. The Company is engaged in the business of production and sale of agricultural inputs, including chemicals, pesticides/herbicides and hybrid seeds. The Company's product portfolio includes agricultural and vegetable seeds, plant biotechnology traits and crop protection chemicals. Its offers approximately 30 variants of hybrid maize seeds under Dekalb brand. Roundup is a flagship product brand of the Company's agricultural productivity business that manufactures broad spectrum, glyphosate-based, post-emergent systemic herbicide for weed management. Its products include DEKALB 9150, DEKALB 8161, DEKALB 9165, DEKALB 8164 and DEKALB 9155. It has manufacturing facilities in Silvassa, which is an herbicide plant; Shamirpet, which is a maize conditioning plant, and Eluru, which is a seed processing plant. The Company has maize breeding stations at Udaipur and Bangalore, and a satellite breeding station at Jalandhar.