Replies to post #14325 on The Rising Influence of Rising Affluence

[DewDiligence]

The probability of the Bayer-MON deal closing hasn't changed appreciably in the past few months insofar as the key regulatory approvals, especially the EU and China, remain.

[DewDiligence]

Bayer will raise $19B from a stock offering before tapping the bond market for funding of the MON buyout:

https://www.wsj.com/articles/bayer-details-financing-plan-for-monsanto-deal-1487788367

[DewDiligence]

Bayer/MON begin preemptive divestitures to gain regulatory approval for merger:

http://finance.yahoo.com/news/bayer-monsanto-start-2-5-124000976.html

German drug and crop chemical maker Bayer and U.S. seeds company Monsanto are launching asset sales worth roughly $2.5 billion as they seek regulatory clearance for their $66 billion merger, people close to the matter said.

To kick off an auction process, Bayer's advisors will send out information packages next week to prospective bidders for the businesses, which have been divided into three bundles of assets, the people said.

Bayer and Monsanto have said in the past that they expect to divest activities with combined sales of up to $1.6 billion.

While it could not be learned what businesses will be put on the auction block, antitrust and industry experts expect Bayer to potentially divest soybean, cotton and canola seed assets as well as LibertyLink-branded crops that are resistant to its glufosinate herbicide, an important alternative to Monsanto's Roundup Ready seeds.

[DewDiligence]

(MON)—Senate bill seeks to block ag takeovers:

http://www.investopedia.com/news/senators-want-more-scrutiny-us-food-takeovers-mon-seb

Even if eventually enacted, this bill may come too late to block the Bayer-MON deal.

p.s. At today’s close, MON is trading at an 11% discount to Bayer’s $128/sh cash offer, which is close to the narrowest discount since Bayer went public with its initial ($122/sh) offer in May 2016.