ChemChina to buy Syngenta in $43 billion deal

Government-owned China National Chemical Corp. capped a string of acquisitions with a $43 billion cash offer to buy Swiss pesticide and seed company Syngenta AG SYNN, +5.23%  , in the most ambitious foreign takeover attempt by a Chinese company to date.

In a statement Wednesday, Syngenta said the offer by the Chinese company — commonly known as ChemChina — amounted to $465 per share, plus a special dividend of 5 Swiss francs ($4.91) to be paid immediately before the deal’s closing.

Syngenta said it endorses the offer, which is equivalent to 480 Swiss francs a share. Syngenta’s shares closed Tuesday at 392.30 francs, up 3.7%. A statement from ChemChina confirmed the offer.


The offer comes after months of uncertainty over the future of Syngenta, which was earlier pursued by U.S. seed giant Monsanto Co. MON, -0.16%  To seal the deal, the companies must now  overcome potentially fraught regulatory hurdles in the U.S. and elsewhere.

If completed, the purchase would mark a fresh high for Chinese overseas acquisitions. Chinese companies — with the strong support of their government — have sought to gain technology and know-how from abroad, while also opening up new markets to drive sales overseas as demand at home slows.

For Syngenta, the deal holds the prospect of new capital and greater access to the huge China market, while for ChemChina, it gives the company access to Syngenta’s advanced biotechnology for developing seeds.