Bayer Said to Secure $63 Billion in Financing for Bid

Bayer is planning a takeover of Monsanto, backed by five major banks pledging $12.5 billion each as bridge loans. This financial support allows Bayer to increase its offer from $122 to $155 per share, raising the deal's valuation above what China paid for Syngenta. Despite concerns about Federal Reserve rate hikes, companies like Bayer can still access finance due to their good credit. This deal would be the largest in German history, creating the world's biggest farm and seed company. The valuation is based on a forecasted EBITDA for Monsanto, raising questions about its appropriateness.

What was the initial offer per share from Bayer for Monsanto before it was raised?

• $100

• $122

• $150

• $155

Which of the following banks was NOT mentioned as providing loans for Bayer's acquisition of Monsanto?

• Bank of America

• Credit Suisse

• Deutsche Bank

• HSBC

What is the significance of the Bayer-Monsanto deal in terms of its size?

• It is the largest deal in European history.

• It is the largest deal in American history.

• It is the largest deal in German history.

• It is the largest deal in Asian history.

What is the forecasted EBITDA multiplier for Monsanto in the Bayer acquisition deal?

• 16 times

• 18 times

• 15 times

• 17.5 times

What is the main concern regarding the valuation of the Bayer-Monsanto deal?

• The deal is not valued at all.

• The deal is fairly valued.

• The deal is undervalued.

• The deal is overvalued.