Russian antitrust authority Federal Anti-Monopoly Service (FAS) has given a green light to German chemical firm Bayer’s planned US$62.5bn merger with the American agrichem developer Monsanto, despite an earlier six-month delay on the decision.
Bayer said it had agreed to transfer certain technologies in seeds breeding and digital farming to Russian recipients over the next five years, Reuters wrote on 20 April.
It would share genetic know-how on rapeseed, soyabean, vegetable, corn and wheat seeds in addition to granting “non-discriminatory” access to digital farming technologies once they had been made available in Russia.
In February, Bayer sued the FAS for its November 2017 decision to delay its final determination by six months.
FAS concluded in early November that the merger, which would result in the creation of the largest seed and agrichemical firm in the world, could lead to its increased dominance in all affected Russian markets ad stop others from entering the market.
The Monsanto deal has been approved by Argentina, Brazil, China and the EU, and sources told Reuters earlier in April that Bayer had reached a preliminary understanding for approval with the US Department of Justice.
Bayer also said that it had in mid-April raised €3bn (US$3.7bn) by selling a 3.6% stake of the company to a Singaporean state-owned investment company, with further plans to raise capital in the pipeline.
The firm had earlier said it would only launch a cash call once it had sufficient clarity on the Monsanto merger, wrote Reuters.