Offer rejected: Monsanto says "nein" to Bayer bid
NEW YORK - Monsanto (MON) is rejecting Bayer's $62 billion takeover bid, calling it "incomplete and financially inadequate."
However, the seed company suggested Tuesday that a higher bid might be accepted, saying that it remains open to talks.
Monsanto Co. Chairman and CEO Hugh Grant also said in a release that the initial offer failed to address potential financing and regulatory risks.
"The current proposal significantly undervalues our company and also does not adequately address or provide reassurance for some of the potential financing and regulatory execution risks related to the acquisition," Grant said.
Bayer, a German drug and chemicals company, made an all-cash bid that valued Monsanto's stock at $122 each.
A combination of the two businesses would create a giant seed and farm chemical company with a strong presence in the U.S., Europe and Asia.