Monsanto CEO says bigger Syngenta break-up fee 'counterproductive': paper

Tue Jul 7, 2015 12:48pm EDT
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ZURICH (Reuters) - Monsanto (MON.N: Quote) believes offering a higher break-up fee to Syngenta SYNN.VX if its $45 billion takeover approach does not go ahead would be counterproductive, Chief Executive Hugh Grant told a Swiss newspaper.

Agrochemicals group Syngenta rejected a $2 billion payment from its U.S. rival if the proposed takeover failed to get approval from regulators.

"If we were to offer more it would be counterproductive," Grant was quoted as saying in an interview in Finanz und Wirtschaft published on Tuesday.

"That would create an incentive to work toward getting the break-up fee."

Monsanto, the world's largest seed company, said last month it would still pursue an acquisition of its Swiss rival, despite Syngenta rebuffing its $45 billion takeover offer.

(Reporting by Joshua Franklin. Editing by Jane Merriman)

Swiss agrochemicals maker Syngenta's logo is seen in front of the headquarters in Basel  February 4, 2015. REUTERS/Arnd Wiegmann