AGCO announces forage division acquisition of Lely Group

Date: 27.10.2017

Worldwide manufacturer and distributor of agricultural equipment AGCO has acquired the forage division of Lely Group. AGCO brands include Massey Ferguson, Fendt Challenger, and Valtra.

With a history of more than 40 years in the New Zealand market, Lely’s forage division has become a leader and innovator in the hay and forage markets with an extensive range of equipment, including round balers, loader wagons, rakes, tedders, mowers, and tillage products.

The agreement does not include Lely’s dairy division, which will continue to operate in its own right, as it focuses on its automated and milking robotic systems.

"The acquisition of Lely’s forage division offers a great opportunity to add world-class products to AGCO’s existing hay range, which, in New Zealand, we offer with the Massey Ferguson brand and includes square balers, swathers, rakes, tedders mowers, and telehandlers," Warwick McCormick, managing director and vice president for AGCO ANZ, says.

"Our dealers and customers will now be able to benefit from one of the best hay and forage product lines in the industry and a very experienced and professional support team," Warwick adds.

Lely’s country manager, Peter Vis, states that the 2017 hay season will be "business as usual" with customers being able to choose from the same extensive Lely product lines from their current local dealer.

"Going forward, the integration of the two groups is an exciting opportunity as we join forces with one of the world’s largest agricultural machinery companies," Peter says. "AGCO has a strong history of product innovation and invests heavily in research and development, which will benefit the products that we’ll be able to offer our dealers and customers."

A new division has been created within AGCO called Green Harvesting, which will be dedicated to the hay and forage business and work closely with their customers and dealers.

"We will combine our current hay products and resources and integrate them with the Lely division to create a dedicated and experienced team that will offer an unrivalled range of hay gear," Warwick says.

Part of the integration plan over time will include the consolidation of selected AGCO and Lely product lines, which will in large be based on the performance of the product and sales volumes.

"Our goal is to offer the best range of products for the hay industry that covers all stages of the growing and handling cycle and all types of hay and forage applications plus offer our customers the best possible support from an extensive and experienced dealer network," Warwick says.

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