Monsanto will acquire Delta and Pine Land Company for $1.5 billion in cash. Delta and Pine Land Company has a private cotton seed program that it states is the largest and longest running in the world.
Under the terms of the agreement, Delta and Pine Land Company shareowners will receive $42 per share in cash. Monsanto says it intends to finance the acquisition with a combination of cash on hand and a debt offering.
As part of the proposed agreement, Monsanto has offered to relinquish its Stoneville cottonseed business if required to close the transaction.