ChemChina makes $43bn bid for Syngenta
3 Feb 2016
ChemChina has offered over $43 billion (£29.7bn) for Swiss seeds and pesticides group Syngenta, the companies announced today.
The deal, which ranks as the largest overseas takeover by a Chinese company, follows closely on the heels of the $130bn merger announced between Dow Chemical and DuPont in December last year.
Syngenta said there was committed financing behind the offer and “a strong commitment to pursue regulatory clearances.” It expects the deal to conclude by the end of this year, with its existing management continuing to run the company.
This deal will enable us to maintain and expand this position, while at the same time significantly increasing the potential for our seeds business.
John Ramsay, Syngenta CEO
“Syngenta is the world leader in crop protection having significantly increased its global market share over the last ten years,” said Syngenta chief executive, John Ramsay.
“This deal will enable us to maintain and expand this position, while at the same time significantly increasing the potential for our seeds business. It will ensure continuing choice for growers and ongoing R&D investment across technology platforms and across crops.”
ChemChina is the largest chemical corporation in China, and ranked in the 265th position among the Fortune 500. The company’s main businesses include materials science, life science, high-end manufacturing and basic chemicals.
Seed company Monsanto made an unsuccessful takeover bid for Syngenta last year.
Following the Syngenta takeover, ChemChina said it would continue to the company's “intactness in its operations, management and employees,” which included keeping its headquarters in Basel, Switzerland.
