CHINA - ChemChina $43 Billion Takeover of Syngenta

Arno Froese

ChemChina has won more than enough support from Syngenta shareholders to clinch its $43 billion takeover of the Swiss pesticides and seeds group, the two companies said.

The deal, announced in February 2016, was prompted by China’s desire to use Syngenta’s portfolio of top-tier chemicals and patent-protected seeds to improve domestic agricultural output. It is China’s biggest foreign takeover to date.

The trend toward market consolidation has triggered fears among farmers that the pipeline for new herbicides and pesticides might slow. Regulators have required some divestments as a condition for approving the Syngenta deal.

Chief Executive Erik Fyrwald played down the transition from publicly listed group to becoming part of a Chinese state enterprise, stressing that Syngenta would remain a Swiss-based global company while under Chinese ownership.

He saw two major changes: giving Syngenta a long-term shareholder to accompany it during the 12 years it typically takes to discover and launch new products, and helping to overhaul Chinese agriculture, which he called very much behind the global standard.

Syngenta sells its products in more than 90 countries under such brand names as Acuron, Axial, Beacon and Callisto. It sells seeds such as cereals, corn, rice, soybeans and vegetables.

-www.reuters.com, 5 May 2017

Arno's commentary

Globalism is on the march. The days of small, independent businesses are numbered. Switzerland, as a nation, is extremely successful where globalism is concerned. While most of landlocked Switzerland is covered with mountains, they are the home country of the world’s largest food distributor: Nestle. Switzerland also operates the largest merchant marine fleet in the world for a landlocked country. Now, the plan to transfer ownership of the Swiss chemical company to communist China, has been met with some resistance, which apparently has had little success. Based on our understanding of Bible prophecy, communist China will and must become the largest, single-country economy in the world.

Here we are reminded, although not directly related, of Revelation 6:2: “And I saw, and behold a white horse: and he that sat on him had a bow; and a crown was given unto him: and he went forth conquering, and to conquer.” This is not limited to China, but to all of the 200+ nations on planet earth. There are tens of thousands of companies being traded continuously, all for the purpose of “…conquering, and to conquer.”

Arno Froese is the executive director of Midnight Call Ministries and editor-in-chief of the acclaimed prophetic magazines Midnight Call and News From Israel. He has authored a number of well-received books, and has sponsored many prophecy conferences in the U.S., Canada, and Israel. His extensive travels have contributed to his keen insight into Bible prophecy, as he sees it from an international perspective.

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