Syngenta to Acquire Monsanto’s Hybrid Sunflower Seeds
Date Posted: August 6, 2009
ST. Louis and Basel, Switzerland (August 6, 2009) -- Monsanto and Syngenta announced today the signing of an agreement for Monsanto to sell its global sunflower assets to Syngenta for $160 million.
The asset deal includes germplasm, development and breeding of hybrid sunflower seeds. The business recorded sales of $75 million in the 2008 fiscal year. Syngenta’s sunflower seeds business is the global market leader with sales of more than $200 million in 2008.
The transaction will be completed pending appropriate regulatory approvals. Additional terms of the agreement were not disclosed.
“This acquisition is an excellent addition to our global sunflower business. These activities will further strengthen our position in Europe and Latin America, key regions for growing sunflowers, and expand the range of our offer to growers,” said Davor Pisk, Chief Operating Officer Syngenta Seeds.
"We're pleased that Syngenta is acquiring Monsanto's global sunflower assets and will continue to provide farmers with high-quality hybrid sunflower seed," said Carl Casale, Monsanto's Executive Vice-President of Strategy and Operations. "Monsanto remains fully focused on our seeds and traits platform's core crops to fuel our company's future growth through yield and innovation."
Sunflower oil is a high value vegetable oil which is low in saturated fats and mostly used in food applications. Globally, sunflowers are grown on around 24 million hectares. Major sunflower producing countries are Russia, Ukraine, Argentina, France and Central Europe. The sunflower seeds market is currently valued at around $700 million with more than 75% of the value coming from developing markets.