AGCO, the worldwide manufacturer and distributor of agricultural equipment, announced it has reached agreement in principle to acquire the forage division of Lely Group. No financial details were provided.
Lely’s forage division is a manufacturer of products for dairy and cattle farms, mostly in Europe. Its products include balers, loader wagons, mowers, wrappers and tedding products. The company is headquartered in the Netherlands.
“The integration of Lely’s industry leading competence in hay and forage technology will further strengthen AGCO’s full line product offering,” said Martin Richenhagen, AGCO’s chairman, president and chief executive officer.
The transaction is subject to regulatory approval and is expected to close in the fourth quarter of this year.