• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Current price of oil as of June 16, 2026

2

'Work hard, stay loyal, and the system will reward you': the Boomer credo is a Gen X betrayal and a Millennial pipe dream

3

Cursor’s 25-year-old CEO is a former Google intern who just cemented a $60 billion deal with SpaceX

1

Current price of oil as of June 16, 2026

2

'Work hard, stay loyal, and the system will reward you': the Boomer credo is a Gen X betrayal and a Millennial pipe dream

3

Cursor’s 25-year-old CEO is a former Google intern who just cemented a $60 billion deal with SpaceX
LeadershipThe Future of

The Justice Department Is Going to Let Bayer Buy Monsanto. Here’s Why It Matters

By
Hallie Detrick
Hallie Detrick
Down Arrow Button Icon
By
Hallie Detrick
Hallie Detrick
Down Arrow Button Icon
April 10, 2018, 8:43 AM ET
Add Fortune on Google for similar content.

The U.S. Justice Department has just given Bayer permission to buy Monsanto in a $62.5 billion deal.

The approval (with some conditions) was the last big hurdle for the deal, which has been in the works since May 2016. DOJ approval follows European Union approval in March and a “productive” meeting between Bayer and President Trump in January. It’s the largest all-cash buy-out on record and the largest deal ever by a German company.

But not everyone is over the moon about the tie up that will let one company control more than a quarter of the world’s seeds and pesticides.

Here’s what you need to know:

1. What’s the Deal?

In May 2016, Bayer made an unsolicited offer to buy Monsanto at $122 a share, or about $66 billion. (The deal is now valued at $62.5 billion.) Bayer is a German drug and chemical maker; Monsanto is an agricultural juggernaut based in St. Louis, Mo. Together, they represent the pinnacle of data-driven industrial agriculture, which the companies say will be necessary to feed a planet that hosts 10 billion people. Werner Baumann, the CEO of Bayer, and Hugh Grant, Chairman and CEO of Monsanto, emphasized their companies’ ability to invest more in innovation once joined, pledging to spend $16 billion on research and development worldwide over six years. However, Business Insider points out that this is only a total of $500 million more than the companies are spending on R&D right now.

2. What Did DOJ Approve?

With such a big tie-up inevitably comes anti-trust concerns. Although Bayer and Monsanto are ostensibly function in different sectors, there is some crossover between their products. To satisfy the DOJ, Bayer will sell off some of its assets to German competitor BASF before the merger. These include the company’s soybean and cottonseed businesses as well as its glufosinate weedkiller, which is a direct competitor to Roundup, a central element of Monsanto’s business.

3. Why Are Farmers So Worried?

For all Baumann and Grant’s bluster about innovation and feeding the world, many farmers worry that this merger is motivated by profit alone—which will be much easier to make after the tie-up. Mark Connelly, an agriculture analyst, told Business Insider, “These companies want to make more money, they want to raise prices. No company in this industry needs these deals in order to innovate.” Moreover, research from the Farmers Business Network shows a positive correlation between a company’s market share and its seed price. Market share is also an indicator of yield, but the gains taper off quickly. If this pattern holds, farmers could be paying a whole lot more money for not much more yield.

4. What Will It Mean for Consumers?

If farmers’ fears come to fruition, consumers could see prices go up not only on agricultural products, but also on the umpteen products that hide corn and soybean inputs such as gas. The Bayer-Monsanto deal is big enough on its own to create cause for concern. It’s even more worrying in the wake of the ChemChina-Syngenta takeover and Dow Chemical’s merger with DuPont.

About the Author
By Hallie Detrick
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Leadership

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Leadership

y
Arts & EntertainmentHollywood
Meet the YouTubers remaking Hollywood, one Gen Z box-office smash at a time
By The Associated PressJune 17, 2026
39 minutes ago
An executive team together in a conference meeting room in contemporary modern office.
NewslettersCFO Daily
CFO pay surged 8% last year—and long-term incentives now account for 63% of the average package
By Sheryl EstradaJune 17, 2026
3 hours ago
TIAA CEO Thasunda Brown Duckett is undertaking a retirement revolution—with $1.5 trillion to back it up
NewslettersCEO Daily
TIAA CEO Thasunda Brown Duckett is undertaking a retirement revolution—with $1.5 trillion to back it up
By Alyson ShontellJune 17, 2026
5 hours ago
Thasunda Brown Duckett sitting in front of a podcast microphone
SuccessFortune 500: Titans and Disruptors of Industry
A 76-year-old was about to lose his entire $3 million retirement to a scam. TIAA’s AI caught it—but a human prevented disaster
By Preston ForeJune 17, 2026
6 hours ago
nuri
SuccessImmigration
The man who lived through the fall of the Soviet Union and helped wealthy Chinese move to Canada sees a familiar picture in America
By Nick LichtenbergJune 17, 2026
6 hours ago
He fled Iran for the American dream, became a millionaire, and could have retired—instead, he built the health tech that saved his father from cancer
SuccessFortune The Good Life
He fled Iran for the American dream, became a millionaire, and could have retired—instead, he built the health tech that saved his father from cancer
By Orianna Rosa RoyleJune 17, 2026
8 hours ago

Most Popular

Current price of oil as of June 16, 2026
Personal Finance
Current price of oil as of June 16, 2026
By Joseph HostetlerJune 16, 2026
1 day ago
'Work hard, stay loyal, and the system will reward you': the Boomer credo is a Gen X betrayal and a Millennial pipe dream
Success
'Work hard, stay loyal, and the system will reward you': the Boomer credo is a Gen X betrayal and a Millennial pipe dream
By Nick LichtenbergJune 16, 2026
1 day ago
Cursor’s 25-year-old CEO is a former Google intern who just cemented a $60 billion deal with SpaceX
AI
Cursor’s 25-year-old CEO is a former Google intern who just cemented a $60 billion deal with SpaceX
By Marco Quiroz-GutierrezJune 16, 2026
1 day ago
Hundreds of Stanford students walked out of their grad ceremony to protest Google CEO’s commencement speech. It wasn’t all about AI
Big Tech
Hundreds of Stanford students walked out of their grad ceremony to protest Google CEO’s commencement speech. It wasn’t all about AI
By Tristan BoveJune 15, 2026
2 days ago
Team USA star Ricardo Pepi grew up in a trailer in El Paso—and his parents pawned their car title to fuel his soccer dream. Now, he’s in the World Cup
Success
Team USA star Ricardo Pepi grew up in a trailer in El Paso—and his parents pawned their car title to fuel his soccer dream. Now, he’s in the World Cup
By Preston ForeJune 15, 2026
2 days ago
Current price of silver as of Tuesday, June 16, 2026
Personal Finance
Current price of silver as of Tuesday, June 16, 2026
By Joseph HostetlerJune 16, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.