Monsanto taking a closer look at Bayer's acquisition proposal

Global biotechnology major Monsanto said it is reviewing the acquisition proposal received from the chemical firm Bayer AG.

Bayer AG has made an unsolicited non-binding proposal for potential acquisition of Monsanto, which is subject to due diligence and regulatory approvals, the latter said in a regulatory filing.

"The board of directors of Monsanto is reviewing the proposal, in consultation with its financial and legal advisors..," the filing added.

Morgan Stanley & Co and Ducera Partners are acting as financial advisors, and Wachtell, Lipton, Rosen & Katz is acting as legal advisor to Monsanto, it said.

With this acquisition of the world's biggest seed firm, Germany based chemical giant Bayer is aiming to become the globally biggest player in the farm inputs segment which comprises both agro-chemicals and seeds.

Lately, the agrochemical and seed sector has been witnessing consolidation in the industry, with Dow Chemical, DuPont and Syngenta all entering mega mergers.

Monsanto and Bayer both have operations and presence in the Indian market.