Linamar Corp. reaches $1.2 billion deal to buy agriculture manufacturer MacDon
Posted Dec 14, 2017 3:04 pm.
Last Updated Dec 14, 2017 3:40 pm.
This article is more than 5 years old.
GUELPH, Ont. – Manufacturer Linamar Corp. (TSX:LNR) says it has reached an agreement to buy Winnipeg-based agriculture equipment maker MacDon Industries Ltd. for $1.2 billion.
Guelph, Ont.-based Linamar says MacDon and its group of companies will complement its existing agricultural harvesting business in Hungary and allow the company to serve more markets globally.
Linamar, which makes precision metallic parts for a range of sectors including automobiles, says the MacDon deal will allow it to further diversity its operations and end markets.
Company CEO Linda Hasenfratz says the increased exposure to agriculture comes as the sector is in the early stages of a cyclical recovery, and with strong growth to be driven by a growing and developing global population.
MacDon sells its specialized agricultural harvesting equipment in over 40 countries and has about 1,400 dealers and distributors in its global network.
Linamar, with 59 manufacturing facilities globally and about 24,500 employees, had sales of $6 billion in 2016.
