Bayer and Monsanto enter technologies agreements
June 20, 2007
by FoodBusinessNews.net Staff
ST. LOUIS — Bayer CropScience AG and the Monsanto Co. reached business and licensing agreements for key enabling agricultural technologies. With this agreement, Bayer will give Monsanto a royalty-bearing, non-exclusive license for its LibertyLink herbicide tolerance technology for use in corn and soybeans.
"Monsanto is pleased to have reached licensing agreements with Bayer CropScience across a range of crops and technologies," said Hugh Grant, chairman, president and chief executive officer or Monsanto. "Farmers look to technology providers like Bayer CropScience and Monsanto Company to discover and deliver needed technologies to their farms. We believe these agreements will support and advance the work of both our companies as we independently bring innovation to the farm."
The agreements give Monsanto the option to market corn and soybean seeds that contain both Monsanto’s Roundup Ready and Bayer’s LibertyLink technologies. The companies have entered a royalty-bearing agreement that gives Bayer rights under specific Monsanto intellectual property.
The companies mended existing agreements related to herbicide tolerance and insect-protection technologies.
Monsanto and Bayer also cross-licensed each other under their respective patent estates for RNAi technology.
"These agreements are an important stop for Bayer CropScience as they could significantly broaden the availability of our LibertyLink technology outside our core cotton and canola seed business," said Dr. Friedrich Berschauer, chairman of the board of management for Bayer CropScience. "This agreement could also expand the base for our Liberty herbicide business. At the same time, the agreements enable us to facilitate the development and commercialization of new technology solutions in the future."