Editor's Note: This article was originally published on Real Money at 11:15 a.m. on May 12.
Meanwhile, shares of Bayer -- which manufactures a variety of herbacide and insecticide brands such as Liberty, Belt and Movento -- dipped about 5% on German exchanges after Bloomberg reported the chemical giant has engaged advisors in preliminary discussions about making an offer for Monsanto.
Monsanto's market cap climbed to roughly $43 billion in Thursday morning trading vs. a $78.5 billion market cap at Bayer.
But such a potential tie-up, following China National Chemical's $43 billion bid for Syngenta (SYT) in February, would still pale in comparison to the agricultural seed giant that would be produced if Dow Chemical (DOW) and DuPont (DD - Get Report) can see their $130 billion deal cross the finish line, according to Real Money's Jim Cramer. Dow Chemical is a stock held in Jim Cramer's Action Alerts PLUS charitable trust.
"Don't forget that if Dow and DuPont merge that the combined company will be the No. 1 seed company," Cramer said in a Thursday email. "This would be a terrific combination that could catch the seed business at the bottom of the cycle."
Most recently, Dow acquired the seed business of Cooperativa Central de Pesquisa Agrícola for $169 million last year, with the remaining $24 million paid this year, as part of the Michigan-based chemical giant's quest to build out its AgroScience's share in the soybean market. Dow's Agricultural Sciences sales clocked in at $1.65 billion in the first quarter, down 12% year over year.
Meanwhile, DuPont attributed much of its 6% decline in net total sales for the quarter, which amounted to $7.4 billion, to "reduced demand for crop protection insecticide products and soybean seeds," according to its quarterly SEC filing.
DuPont and Monsanto shares are down 13% and 15%, respectively, over the past 12 months, while Dow stock has ticked up 1% over the period.