AGCO Makes $2B Move For Trimble Ag Assets And Technologies; Seeks Options For Grain & Protein Business
Portfolio Pulse from Shivani Kumaresan
AGCO Corporation has entered into a joint venture with Trimble Inc, acquiring an 85% interest in Trimble's Ag assets and technologies for $2.0 billion. The deal is expected to double the JV's EBITDA by year five post-closing and be accretive to AGCO's revenue growth, operating margin profile, and earnings per share in the first full year post-close. AGCO also announced a strategic review of its Grain & Protein business.
September 28, 2023 | 2:52 pm
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POSITIVE IMPACT
AGCO's acquisition of Trimble's Ag assets is expected to enhance its technology stack and boost its revenue growth, operating margin profile, and earnings per share. The strategic review of its Grain & Protein business could also impact its future operations.
The acquisition of Trimble's Ag assets will significantly enhance AGCO's technology offerings, which could lead to increased sales and revenue growth. The strategic review of its Grain & Protein business could lead to potential changes in its operations, which could also impact its financial performance.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
NEGATIVE IMPACT
Trimble Inc's Ag assets and technologies have been acquired by AGCO Corporation. This could impact Trimble's future operations and financial performance.
The sale of its Ag assets and technologies to AGCO could lead to changes in Trimble's operations and potentially impact its financial performance. However, the cash received from the sale could be used to invest in other areas of its business.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80