Federal antitrust regulators have granted agribusiness giants Bayer and Monsanto permission to merge after the two companies agreed to spin off $9 billion worth of assets, the largest such sale of corporate assets ever required by the Department of Justice.
Under the proposed settlement filed Tuesday [May 29], Bayer will sell its seed and herbicide businesses to a third party, the German chemical company BASF. It also will sell its emerging digital farming business as well as a range of intellectual property and R&D projects.
The targeted spinoffs are aimed at preventing Bayer and Monsanto from using their combined control over seeds and seed treatments to raise the price of agricultural products to farmers and consumers, Justice Department officials said. Just six companies, including Bayer and Monsanto, have historically dominated the global trade in seeds and agrochemicals.
The deal already has received approval from regulators in the European Union, Russia and Brazil, making the U.S. approval one of the last major hurdles.
Read full, original post: Justice Department approves Bayer-Monsanto merger in landmark settlement