MONSANTO COMPANY will purchase the cotton seed giant Delta and Pine Land Company for $1.5 billion cash. The purchase announcement came in mid-August. Delta and Pine Land operates one of the largest and longest-running private cotton seed breeding programs in the world. Monsanto CEO Hugh Grant reported in a statement that Delta and Pine Land will be “an excellent fit for our company as we look to bring value-added traits and high-quality seed to cotton growers around the world.”

Shareholders for Delta and Pine Land will receive $42/share in cash. Monsanto will finance the purchase with current cash on hand and a debt offering. The proposed purchase will be reviewed and needs approval by regulatory authorities, including the U.S. Department of Justice.