New Holland Agriculture has announced it will expand its line with the acquisition of the tillage and hay and forage businesses owned by the Danish Group Dansk Landbrugs Grovvareselskab. The business develops, manufactures and sells solutions for agricultural applications under various brands including Kongskilde, Overum and JF. Kongskilde will continue to operate through its current sales organization and its dealer network.
The acquisition will provide New Holland a major extension and enhancement of its line with the addition of these products. New Holland has been making hay tools since 1940, when it made a major breakghthrough in hay harvesting with the introduction of the first self-tying automatic pick-up baler.
According to the media announcement, the agreement is "an important element in New Holland's global strategy to provide customers around the world with innovative and complete solutions to their farming needs by adding tillage equipment to its product portfolio and extending its hay and forage offering." New Holland plans to leverage its worldwide presence and the Kongskilde organization and dealer network to grow the brand and its business.
In the official statement, Carlo Lambro, brand president New Holland Agriculture, commented: "The acquisition of the tillage and hay and forage activities of Kongskilde adds a key product range that will further broaden New Holland Agriculture’s product offering within the agricultural machinery sector. In the meantime the Kongskilde dealer and importer network will remain the reference point for their customers. This agreement will provide growth opportunities and create a strong platform to develop the Kongskilde business and its brands and we will also gradually integrate their products in the New Holland portfolio."
The acquisition will include a transfer of assets related to the tillage and hay & forage activities of Kongskilde Industries. The manufacturing footprint of this business includes two plants in Europe: in Poland and Sweden. It also includes other facilities in the European, Asian and North American regions. And the deal is subject to various closing conditions, including regulatory approvals.
Added Richard Tobin, CEO of CNH Industrial: "We are proud to welcome the well-established products and brands of Kongskilde, Overum and JF into the CNH Industrial Group. It is our intention to build upon these proud heritages and significantly increase their market access as part of our worldwide distribution network."