Mexico sets conditions for Bayer-Monsanto merger


Mexico has actually purchased Bayer and Monsanto to sell their seed companies after their mega-merger

Mexican competitors regulators stated Monday they had actually purchased the German chemicals and pharmaceuticals giant Bayer to sell its seed and pesticide companies after a merger with United States farming heavyweightMonsanto

TheFederal Commission for Economic Competition (Cofece) stated the 2 multinationals might just combine their Mexico operations if they quit their “genetically modified cotton seed business, all of their vegetable seed businesses and certain non-selective pesticides which are the property of Bayer.”

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Bayer’s $63- billion (54- billion-euro) buyout of Monsanto– among the biggest in German business history– is set to close Thursday, birthing an international giant with 115,000 staff members and earnings of some 45 billion euros.

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Bayer has actually proposed selling the noted companies to its competing BASF, which the Mexican regulator stated “has the capacity and incentive to vigorously compete in the markets involved.”

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“Without the conditions imposed, the operation will significantly reduce the alternatives that Mexican farmers have at their disposal to a broad range of seeds and non-selective pesticides, which could lead to higher prices and less innovation, research and development of new products,” the regulator stated.

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Bayer and Monsanto will need to accept all the conditions enforced by the regulator to seal the deal, however will deserve to lawfully challenge the decision in court, it stated.


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© 2018 AFP.

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