Trimble, Agco Corp. fuse assets to form PTx Trimble joint venture

WESTMINSTER — Industrial technology company Trimble Inc. (Nasdaq: TRMB) and Agco Corp. (NYSE: AGCO) have closed a deal to form a joint venture, PTx Trimble, a new company that combines Trimble’s precision-agriculture division and Agco’s JCA Technologies agricultural engineering and technology business unit.

The new company, which the parties said “will better serve farmers with factory fit and retrofit applications in the mixed-fleet precision agriculture market,” will be 15% owned by Trimble and 85% controlled by Agco, according to a new release. 

Agco, which will consolidate PTx Trimble’s results into its financial statements going forward, financed the joint venture through a combination of $1.1 billion in recently issued senior unsecured notes, a $500 million term-loan facility, other borrowings and cash on hand, the release said. 

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“Farmers worldwide need technologies that support them to be more productive and profitable while minimizing the environmental impact of their operations,” Agco CEO Eric Hansotia said in a prepared statement. “PTx Trimble will provide farmers greater access to next-generation precision ag tools, no matter what brands of tractors and implements they operate.”