AGCO Sells Off Grain and Protein Brands for $700 million

AGCO CEO and president Eric Hansotia says the transaction will enable the company to “sharpen its focus” on its farm equipment and PTx Trimble brands.

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AGCO’s strategic divestment of its grain and protein business units is expected to close by the end of 2024.
(GSI)

AGCO announced plans to sell the majority of its grain and protein business - which includes its GSI grain bin storage and monitoring technology brand - to American Industrial Partners (AIP) in an all-cash transaction valued at $700 million.

The company expects to incur a loss on the sale of the business in the range of $450 million to $475 million.

The transaction includes AGCO’s five primary grain and protein brands:

  • GSI
  • Automated Production (AP)
  • Cumberland
  • Cimbria
  • Tecno

“Divesting this business allows us to streamline and sharpen our focus on AGCO’s portfolio of award-winning agricultural machinery and precision ag technology products, which underpins a long-term focus on high growth, high margin and high free cash flow generating businesses,” said Eric Hansotia, chairman, president and CEO, AGCO.

AGCO purchased Trimble in April 2024.

The transaction will exclude AGCO’s grain and protein business in China, and is anticipated to close before the end of the year - subject to regulatory approvals and other customary closing conditions.

Get all of the details from AGCO’s full release here.

More AGCO News:

Largest Ag Tech Deal Ever: AGCO Acquires 85% of Trimble for $2 Billion

Machinery News: AGCO Reorganizes Ohio Dealer Network, John Deere Launches New Gator UTVs

Planting A Flag: AGCO All-In On Mixed-Fleet Aftermarket Ag Tech

Machinery News: AGCO Confirms Ohio Dealer Exit, John Deere Reveals its Chief Tractor Officer

AGCO Will Acquire Grain Bin Company GSI

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