Origin Agritech forms new pesticide unit
Shares of China's Origin Agritech Ltd. jumped Monday after the seed company said it has formed a pesticide business unit.
The company expects to launch a glyphosate product — an herbicide used to kill weeds — in the Chinese agricultural market for the 2010 season.
Glyphosate was initially patented and sold by U.S. seed giant Monsanto Co. in the 1970s under the name Roundup. Its U.S. patent expired in 2000. The chemical is now is the most-used herbicide in the U.S.
Origin Agritech said the weed-killer will work in conjunction with Origin's glyphosate-resistant seeds, which are pending regulatory approval.
Origin shares rose 98 cents, or nearly 10 percent, to $11.31 in afternoon trading.