German pharmaceutical giant Bayer AG (BAYR) and Monsanto (MON) are close to agreeing to a deal that will create the world's largest seed company, the FOX Business Network has learned.
Bankers with knowledge of the matter say barring a deal spoiler the merger could be announced in the next 24 to 48 hours. These bankers also tell FOX Business the deal is not complete and a hitch could delay the timing or upend the transaction.
Earlier this month Monsanto disclosed that it had received an unsolicited, non-binding proposal from Bayer AG for a potential acquisition of Monsanto and that the company was reviewing the deal.
A potential combo could be worth $44 billion and would give Bayer a sizable footprint in the genetically modified crop business, according to an earlier report in the Wall Street Journal. While GMO food has become controversial for companies including Chipotle (CMG) it remains a lucrative business.
Monsanto shares have gained 8% this month as news of the deal surfaced.
Press people for Bayer and Monsanto weren't immediately available for comment at the time of publication.
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