Syngenta to sell entire Enkhuizen operations

Last week it was announced that Syngenta is selling its flower and vegetable seed divisions. Currently, the Swiss biotechnology giant has put its operations in Enkhuizen for sale. According to a spokesperson of Syngenta, this means that the 600 employees in Enkhuizen do not have to fear for their jobs. "The seed division is for sale, and the possible buyer has to take over the entire operation, including the employees on research and development. We expect that the sale might lead to an increase of activities at the division so it could provide chances for the personnel as well."

UPDATE: In a letter, Syngenta has made the following statement towards growers and customers of the vegetable seed division.

Dear customer,

We are writing to advise you that on 3 September 2015 Syngenta announced that it intends to divest our global vegetable seeds business.

Our vegetable seed business is strong in terms of overall market position, geographical coverage, historical sales growth and profitability. It is populated by highly professional, experienced and passionate team members. Our portfolio is broad and we enjoy market leading positions in a number of key segments.

That said, we recognize that there is limited synergy between our vegetable seeds and crop protection business and that to fuel the continued growth in the vegetable seed business will need the provision more dedicated support for and focus on specialized vegetable growers and young plant raisers

We anticipate that a potential acquirer will either be a company currently in the vegetable seeds market itself or an investor seeking to build a dedicated and focused vegetable seed business

What Happens Next?

Our first and foremost priority is to ensure you that whilst we are making this transition in ownership of our vegetable seeds business it will be ‘business as usual’. We will ensure that our products will remain available to meet market demand and that you will continue to have close interactions with the current Syngenta Vegetables team

We will plan the separation of our vegetable seeds business from the rest of Syngenta and position it as a ‘stand-alone’ business unit in advance of the divestment. In parallel with this separation we will prepare the necessary information to present to prospective acquirers and engage with them in their assessment of our business.

Once an offer has been accepted, we will need to secure the necessary approvals and begin the process of transitioning the ownership of the vegetable seeds business."

Publication date: Wed 9 Sep 2015
Author: Arlette Sijmonsma
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