Agco sells grain division, focus on precision agriculture
Agco, the parent company of tractor brands such as Fendt, Massey Ferguson, and Valtra, is selling its grain storage and processing division to an American investment firm.
The Agco group, which owns tractor brands including Fendt, Massey Ferguson, and Valtra, is selling the grain storage and processing division Grain & Protein for $700 million (equivalent to €648 million) to investment firm American Industrial Partners. The deal involves five brands: GSI, Automated Production, Cumberland, Cimbria, and Tecno. Under these brand names, Agco manufactures grain silos, grain dryers, and grain conveyors. Agco will retain the Chinese operations of the Grain & Protein division.
Focus on machinery and precision agriculture
According to Agco, divesting this division allows the manufacturer to focus on the production and development of agricultural machinery and precision agriculture technologies. Agco plans to use the proceeds from the sale for predetermined priorities, including paying off debts, investing in technology, business growth, and paying shareholders.
