Bayer has not given up on buying Monsanto, even as Monsanto holds out for a better offer amid lower than expected profits.
On Thursday, the German-based Bayer upped its bid to $125 per share, a $3 per-share increase from its initial offer in May of $122 per share. That May proposal was rejected as too low by Monsanto leadership, who said they were open to additional discussions.
Bayer has also offered a $1.5 billion breakup fee, which Monsanto would receive if the proposed deal fails to be approved by antitrust regulators.
“We are convinced that this transaction is the best opportunity available to provide
Monsanto shareholders with highly attractive, immediate and certain value. Bayer is fully committed to pursuing this transaction,” said Werner Baumann, CEO of Bayer AG, in a company statement.
Earlier news reports on Thursday said that Monsanto had reached out to competitor BASF about a merger, even while talks are reportedly still in progress with Bayer.