Monsanto (MON) Stock Surging, Bayer Ups Offer

Bayer AG (BAYRY) is increasing its offer for a takeover of Monsanto (MON).
By Rachel Aldrich ,

NEW YORK (TheStreet) -- Shares of Monsanto (MON)  are gaining 2.81% to $103.97 this afternoon after Bayer AG (BAYRY) increased its takeover offer of the company to $125 per share, CNBC reports.

CEO of Bayer, Werner Baumann, said in a statement that the company is "fully committed to pursuing the transaction" with St. Louis-based seed producer Monsanto.

Previously the company had offered $62 billion, or $122 per share, for an outright takeover.

Monsanto rejected the bid in May saying it was "too low," the Wall Street Journal reported. Bayer said the new offer "fully captures the intrinsic value" of the company.

Shares of Bayer, a German chemical company, are down 0.65% to $102.57 this afternoon.

This morning, Monsanto announced that it was in talks with BASF SE (BASFY) to purchase the German chemical maker's agricultural-solutions business. BASF would receive newly issued shares of Monsanto in the proposed transaction.

Separately, TheStreet Ratings rated this stock as a "buy" with a ratings score of B.

The company's strengths can be seen in multiple areas, such as its good cash flow from operations and expanding profit margins. TheStreet Ratings feels its strengths outweigh the fact that the company has had lackluster performance in the stock itself.

You can view the full analysis from the report here: MON

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. 

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