China's state-owned ChemChina is nearing a deal to take over Swiss seeds and pesticides group Syngenta for around 43 billion Swiss francs ($42 billion), two people familiar with the matter told Reuters Tuesday.

The deal, for roughly 470 Swiss francs per share, will likely be announced Wednesday, when Syngenta is scheduled to release its 2015 results, the people said.

One source said minor adjustments to the price were still being discussed.

The seeds-and-crop industry is undergoing a major shake-up, with DuPont and Dow Chemical Co. announcing an all-stock merger in December.

ChemChina's offer would be at a premium of 24 percent to Syngenta's Monday close of 378.4 francs.


Syngenta's shares rose 6.5 percent to 403.2 francs in afternoon trading in Zurich. Its U.S.-listed shares were up 5.5 percent in premarket trading.

Syngenta declined to comment. ChemChina was not immediately available for comment.

Bloomberg had reported earlier Tuesday that the deal, worth 43.7 billion Swiss francs, was near.

Syngenta Chairman Michel Demare said in December the company was in talks with Monsanto Co., ChemChina and other rivals.

Demare said Syngenta's board, which rebuffed a takeover offer from Monsanto last year, was considering making an acquisition, merging with a rival or selling the company.

However, a group of Syngenta shareholders expressed opposition to a sale of the company to ChemChina in January.

A takeover of Syngenta by ChemChina would underpin an effort by the Chinese government to boost farming productivity as it seeks to cut reliance on food imports amid limited farmland, a growing population and higher meat consumption.

($1 = 1.0207 Swiss francs) ($1 = 1.0214 Swiss francs)