Syngenta To Acquire Monsanto Sunflower Business

Posted by Matt Hopkins|6 August 2009

St. Louis, Missouri, US-based Monsanto Company has entered into an agreement to sell its global hybrid sunflower activities to Syngenta, headquarted in Basel, Switzerland. Syngenta will buy the business for US $160 million, on a cash and debt-free basis. The asset deal includes germplasm, development and breeding of hybrid sunflower seeds. The transaction will be completed pending appropriate regulatory approvals.

Monsanto’s sunflower seed business recorded sales of $75 million in the 2008 fiscal year and has leading positions in key markets. Syngenta’s sunflower seeds business is the global market leader with sales of more than $200 million in 2008.

“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.

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. The transaction is subject to the approval of regulatory authorities.