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Software & services

Microsoft/ Monsanto to fund agricultural innovation in Brazil

If chosen, a start-up can receive up to R$1.5mln (US$459,000) in new capital

Monsanto (NYSE:MON) and Microsoft (NASDAQ:MSFT) have joined forces to back agricultural start-ups in Brazil.

Genetically engineered food specialist Monsanto will invest 300mln reais (US$92mln) into a fund run by the software giant that sponsors innovations that adapt digital technology for agriculture.

If chosen, a start-up can receive up to R$1.5mln (US$459,000) in capital that can be repaid after three years or converted into shares.

"Agriculture was a vast arena for research and development," Rodrigo Santos, head of Monsanto in Latin America, told Reuters.

Monsanto and Microsoft already have ties with founder Bill Gates’s charitable foundation a backer of the seeds and crop enhancement group.

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