Bayer bids for Monsanto in biggest deal in sector
German chemicals giant Bayer has made moves to acquire US seed company Monsanto, in a merger that would create the world’s biggest agricultural supplier.
The $62 billion offer for Monsanto represented a 37 percent premium over the closing price of Monsanto shares on May 9, with Bayer shares dropping 8 percent on the news. Bayer said the bid was an “extraordinary opportunity to create a global agriculture leader.”
CEO Werner Baumann continued, “we have long respected Monsanto’s business and share their vision to create an integrated business that we believe is capable of generating substantial value for both companies’ shareholders.”
Ryanair profits surge, fares to drop 7 percent
Budget airline Ryanair saw profits surge 43 percent over the past year to €1.242 million after its customer service initiative prompted significant growth.
Traffic grew 18 percent, with load factor rising to 93 percent. Revenues jumped 16 percent €6.5 billion.
Looking to the year ahead, the company said it anticipates cutting fares up to 7 percent to keep load factor high in the face of recent terror attacks and airport strikes. It expects profit in 2017 to rise 13 percent.
Ryanair shares opened higher this morning after the news, trading up 0.60 percent at 13.45 (0820GMT).
Japanese shares fall on trade data
Japanese shares fell on Monday after weak economic data from the country, which saw exports drop for the seventh consecutive month.
Exports from Japan fell by 10 percent in April compared with the same month last year, with imports dropping 23 percent. These are the latest in a string of figures that suggest Prime Minister Shinzo Abe’s finance policies are not having the desired effect.
The figures leave Japan’s trade balance with a 823 billion yen surplus, with the Nikkei 225 closing down 0.49 percent.
23/05/2016
