Now that Dow and DuPont have announced their intentions to merge and create a $130 billion chemical behemoth company, the agriculture industry is left wondering what the repercussions will be on the possible spinoff of various business units or acquisition of Syngenta.

After negotiations between Syngenta and Monsanto broke down last summer, the Alliance of Critical Syngenta-shareholders was formed in October by independent and institutional Syngenta shareholders. The alliance is supported by more than 130 members.

The alliance claims to be in close contact with both its members and with large institutional investors that cannot join the alliance due to their own corporate compliance reasons.

The Alliance of Critical Syngenta-shareholders is concerned that the board of directors and management of Syngenta have missed several opportunities to improve value creation and have more than once not reached the financial targets set by alliance members.

“The recent announcement of the mega-merger between Dow and DuPont is a final reality check for Syngenta, as its options have quickly evaporated,” the alliance announced on its website. “Prior media reports suggested that Syngenta’s Chairman, Michel Demaré, had hoped to find a way out of his challenging situation by striking a deal with Dow or DuPont. It now appears that these companies have clearly given him the cold shoulder.

“We do not share his disappointment, however, as these other discussions were distractions that were not going to deliver meaningful shareowner value, especially when compared to the other options including the sale of the company. Now, Demaré can focus on the task at hand, identify all potential suitors, and lead the company forward to maximize value for shareowners.

“Time is of the essence, as this newly formed DowDuPont creates a global giant with a massive seed businesses and crop protection portfolio that will be quickly stalking Syngenta’s core markets. With that combined company executing its own integrated strategy, Syngenta must quickly find a path that allows it to compete. Everything now hangs in the balance.

“We renew our call for the company to engage in meaningful dialogue with all interested suitors. In the course of this week, we will share additional sentiment in that respect from the shareowners survey that we are currently conducting.”

To read more about the alliance’s interview with its shareholder base, go to