Bayer Said to Close $57 Billion Monsanto Bridge-Loan SyndicationBy and
Bayer AG finalized the syndication of a $57 billion bridge loan to support its acquisition of Monsanto Co., the world’s biggest seed supplier.
A total of 27 lenders joined the 12-month deal including European and Japanese banks, according to information from people familiar with the matter, who are not authorized to speak publicly and asked not to be identified. Bank of America Corp., Credit Suisse Group AG, Goldman Sachs Group Inc., HSBC Holdings Plc and JPMorgan Chase & Co. are arranging the loan deal, the people said.
Bayer is set to buy St Louis-based Monsanto for $66 billion, the biggest takeover agreed to worldwide this year and a record overseas acquisition for a German company. The maker of health-care and agricultural products plans to fund the deal with a combination of debt, the issuance of $19 billion of mandatory convertible bonds and a rights offer.
Calls and e-mails to spokespeople at Leverkusen, Germany-based Bayer about the loan weren’t immediately answered.