CNH & AGCO M&A????

[gamble77]

See link below:

Lessiter Publications - Farm Equipment

There are a few other articles on the web about it if you "google" it...interesting stuff.

[Robert_in_NY]

Originally Posted by gamble77

See link below:

Lessiter Publications - Farm Equipment

There are a few other articles on the web about it if you "google" it...interesting stuff.

I would be very surprised if there is any more to this. I doubt Agco would be able to absorb CNH without getting rid of most of Agco. Look at what Fiat had to sell off when it aquired Case-IH. I can see Agco wanting CNH for the marketshare but between the US and Europe trade commisions what would they really be buying? Buy CNH and sell off the rest of Agco to meet the commissions requirements?

Of course ever since Fiat bought Case-IH there have always been rumors of CNH being sold. Since Fiat is involved in the Chrysler thing it only makes sense rumors will start up again but even if Agco and CNH are discussing it it may only be to entertain the idea and listen to the offers which only makes sense.

What would this deal really give Agco though that they don't already have? If they want to sell more tractors then put more dealers out there so we can find them.

[WilliamBos]

Well I would think about it more before dismissing it. AGCO is not poor, and deals can be done. Will wait and see.

[Duffster]

Further consolidation in the Ag market is going to be scrutinized even more than Fiats take over of New Holland and CaseIH.

But who knows what the interior motives are.

[Robert_in_NY]

Originally Posted by WilliamBos

Well I would think about it more before dismissing it. AGCO is not poor, and deals can be done. Will wait and see.

I didn't mean to imply Agco was poor and don't think I did. But what would they really gain by this? They already have a complete line. They have been eliminating names so what good would the Case-IH or NH brand really be for them since they really just want to run Agco and MF. It just doesn't make any sense to me as there is no way they would be able to assume a company the size of CNH without selling off a major share of their own current line.

I would say the same thing if CNH was talking about buying Agco or Deere or vice versa with these three companies. They are all too large to be allowed to aquire any of the others in whole without major changes.

I still feel if this story has some fact to it then all it really amounts to is Agco expressed an interest and CNH is willing to listen to the offer which is good business. You never dismiss an offer without hearing it first.

[WilliamBos]

Good point Robert. I would love to be a fly on the wall between AGCO & CNH. Who knows, it could be nothing more than joint production on equipment, good way to lower costs, and increase cash flow.

How is your back? I hope all is with you. And what about haying season? Mother nature has not been kind in anyway, sun/rain/sun/rain. Been a mad rush by folks around here to try and bale what they had cut, and some did not get to bale all of it.

[Paystar]

Well one thing about it, if Agco bought CNH there might actually be a New Holland dealer that will call me back

Hey Will, I heard there were tornado's in the GTA? You get any bad weather where you are? Been raining here for two weeks.

[WilliamBos]

Originally Posted by Paystar

Well one thing about it, if Agco bought CNH there might actually be a New Holland dealer that will call me back

Hey Will, I heard there were tornado's in the GTA? You get any bad weather where you are? Been raining here for two weeks.

The weather has been crazy. Hail storms, heavy heavy rain, funnel clouds down near the 401 - Whitby area. It has been crazy. And when you think it is OK to drop some hay, think again, not OK at all.

[Robert_in_NY]

Originally Posted by WilliamBos

Good point Robert. I would love to be a fly on the wall between AGCO & CNH. Who knows, it could be nothing more than joint production on equipment, good way to lower costs, and increase cash flow.

How is your back? I hope all is with you. And what about haying season? Mother nature has not been kind in anyway, sun/rain/sun/rain. Been a mad rush by folks around here to try and bale what they had cut, and some did not get to bale all of it.

A joint venture would make sense similar to what Ford and GM did as well as a lot of other large companies.

My back is fine but my spinal cord has never healed and is what is causing me problems and holding me back from being fully recovered. I am making due though, I just had to alter my life considerably to adapt to my current condition.

Haying season has been great for me so far. I have basically cut everything I wanted for first cutting and only lost a few acres because of rain (ran out of wagons). Everything I have baled so far this year is sold except for 100 bales of alfalfa. I will do second cutting on Alfalfa tomorrow unless the weather changes drastically between now and tomorrow. I just got a call from a hay broker looking to buy alfalfa also but I don't have enough even with my second cutting to meet his order and there is no one else locally that grows alfalfa so I doubt I will be able to sell it to him as he wants 630 bales to fill a load to truck to Texas.