Monsanto plans 'corporate inversion' move to UK

Monsanto is aiming to move its headquarters into the UK a part of a merger with Swiss rival Syngenta.

Monsanto plans 'corporate inversion' move to UK

World Bulletin / News Desk

Monsanto, the agrochemical and seed giant, is eyeing a move to the UK as part of a complex merger with Swiss rival Syngenta that would take advantage of Chancellor George Osborne’s lower corporation tax rate.

The US firm is proposing a so-called “corporate inversion,” or “tax inversion,” which would involve setting up a new company registered in the UK.

Syngenta rejected the $45 billion revised bid from Monsanto on Monday, priced at $489.84 per share – a 43 percent premium on current prices.

The US agrochemical firm, known for its genetically modified (GM) crops, also offered a $2 billion termination fee to be paid in the event an anti-trust regulator blocks the merger.

Under the plan, Monsanto investors would end up with a 70 percent holding in the UK company while investors in Syngenta would take the rest.

Güncelleme Tarihi: 09 Haziran 2015, 15:59