Wednesday, September 1, 2010

Monsanto takes 19.9% Stake in Australian Wheat Breeder InterGrain (MON)

The stock matched the market's move today, up 2.55% at $53.99.
I know the big news yesterday was MON's lightening of their rest-of-the-year guidance, yet they keep spreading their tentacles.
From the Sydney Morning Herald:
West Australian cereal breeder InterGrain Pty Ltd has partnered with global grains developer Monsanto to develop tougher, higher-yielding types of wheat.

Under the collaboration, Monsanto has taken a 19.9 per cent stake in InterGrain for an undisclosed sum.
If the collaboration is a success, it could lift that stake to 26 per cent over the next five years.

InterGrain chief executive Bryan Whan said Intergrain and Monsanto would exchange wheat germplasm - material used for breeding wheat before it is recognised as a commercial variety.
"We're always on the lookout for new germplasm internationally so we can bring in new disease resistances and be ahead of the game," Mr Whan said.

"All of this is ultimately about giving benefits to Australian grain growers through better varieties."
InterGrain said that in the short term it would gain access to Monsanto's breeding technology tools and services for genotyping (the process of determining the genes) and marker development, which was expected to result in higher-yielding wheat....MORE