Marrone Bio Innovation merging with Bioceres Crop Solutions is an smart strategy for biological product portfolio expansion

May 12, 2022 | Case Study

In March 2022, Bioceres Crop Solutions Corp. (NASDAQ: BIOX) (Bioceres) and Marrone Bio Innovations, Inc. (NASDAQ: MBII) (MBI) announced that they would merge in an all-stock transaction. Bioceres also recently acquired Rizobacter, an established biological and chemical solutions platform for crop nutrition and protection that complements Bioceres' seed biotechnologies. Bioceres operates in 38 countries and is most established in Latin America. It is known for its HB4 technology, the world's only drought-tolerant trait for soybean and wheat. MBI is based out of the U.S. and sells 18 commercial biobased products through major distributors across North America and Europe. This merger agreement will enhance both companies' product portfolios and allow them to become leaders in sustainable agricultural solutions. The boards of both companies unanimously approved this agreement. The transaction structure is a reverse triangular merger in which MBI will become a wholly owned subsidiary of Bioceres upon closing. MBI shareholders will receive 0.088 BIOX shares for each MBII share. This transaction is expected to close in 3Q 2022, subjected to regulatory review and approval.