DuPont has entered into a global technology licensing agreement with Syngenta AG (SYT - Free Report) which will augment both the company’s crop protection product portfolio and allow them to introduce new fungicide products in the market. The transaction is contingent on the final approvals from applicable regulatory authorities. The financial terms and conditions of the agreement were not revealed.
As part the global licensing deal, Syngenta will be developing products containing DuPont’s fungicide oxathiapiprolin. Development of the new piperidinyl thiazole isoxazoline class of fungicides represents a considerable improvement for growers in controlling diseases in potatoes, grapes, vegetables and other specialty crops.
The deal offers Syngenta exclusive rights for foliar and soil uses on all crops in North America and for lawn and garden uses across the globe. Syngenta also receives rights on some crops for seed treatment worldwide and for the development of foliar and soil uses on certain crops outside of North America.
This agreement also provides DuPont exclusive access to Syngenta's Solatenol for mixture with the former’s picoxystrobin fungicide on soybean and other crops in Brazil. Syngenta’s Solatenol is a new benz-pyrazole SDHI fungicide which helps to bring a new mode of action with no cross-resistance in the existing fungicides. It offers remarkable and prolonged control of Asian rust in soybean.
The deal testifies DuPont Crop Protection's commitment to its customers by delivering innovative products from its strong businesses while retaining its focus on sustainability and maximization shareholder value.
DuPont currently holds a short-term Zacks Rank #3 (Hold).
Other companies in the chemical industry having favorable Zacks Rank are Shin-Etsu Chemical Co., Ltd. (SHECY - Free Report) and Celanese Corporation (CE - Free Report) . Both Shin-Etsu Chemical and Celanese hold a Zacks Rank #1 (Strong Buy).