ChemChina snaps up Syngenta for record $43bn

State-owned China National Chemical has agreed to take over Swiss agrichemical giant Syngenta for a cash deal totalling more than $43bn, as it plans for a flotation in years to come.

If the deal clears numerous global regulatory hurdles, it would mark the largest cross-border acquisition by a Chinese company.

CNC Corp offered to pay $465 per share plus a special dividend of five Swiss francs to be paid just as the deal closes, which is expected around the end of 2016, with a Swiss and US tender offer beginning in the coming weeks.

The Swiss seed and crop specialist's existing management will continue to run the company, with ChemChina chairman Ren Jianxin chairing a ten-man board that will include four current Syngenta directors.

“In making this offer, ChemChina is recognizing the quality and potential of Syngenta’s business," said Syngenta chairman Michel Demaré. "This includes industry-leading R&D and manufacturing and the quality of our people worldwide. The transaction minimizes operational disruption; it is focused on growth globally, specifically in China and other emerging markets, and enables long-term investment in innovation.

"Syngenta will remain Syngenta and will continue to be headquartered in Switzerland."

ChemChina bought Italian tyre maker Pirelli for $7.9bn last year and last month agreed to take over German machinery company Krauss Maffee for $1bn as well as taking a 12% stake in Swiss energy trader Mercuria.