Bayer selling seeds biz to aid Monsanto deal

AP Photo/Markus Schreiber

Bayer has agreed to sell its seeds and herbicides business to BASF for approximately $7 billion in cash.

Why it matters: This represents a major step toward Bayer receiving regulatory approval for its $66 billion purchase of Monsanto, as Bayer's LibertyLink is a major rival to Monsanto's Roundup products. The sale price also is a bit higher than some had expected, meaning that Bayer may be able to decrease the size of a planned share sale to help finance its Monsanto buy.