Manufacturing base to remain in Cowra as global giant helps international expansion
Despite news yesterday of its buy-out by CNH Industrial, the parent company of Case IH and New Holland, K-Line Ag will continue to build products at its Cowra base.
While no individual purchase price for the company was disclosed, CNH Industrial says that the combined purchase price of K-Line, tracks manufacturer ATI Track Systems and precision farming software company AgDNA is US$85 million (A$123.2 million).
K-Line founder Richard Larsen and company board members said in a company email that the deal was great recognition for the company and an exciting opportunity for customers and dealers.
“The manufacturing of K-Line Ag products like the Speedtiller will remain in Cowra NSW, Australia, and Grafton, North Dakota, USA, with plans to ramp up production and increase the number of units produced each month,” the company says.
“The Larsen family will also remain heavily involved in strategy and day to day management of the business. It will be very much business as usual for K-Line Ag dealers, staff and end-users, and we are committed to making this transition period as smooth as possible.”
CNH Industrial managing director for Agriculture in Australia and New Zealand Brandon Stannett says K-Line Ag products will continue to be sold under that name in both countries through existing Case IH, New Holland and independent dealers.
But the company will be re-branded to Case IH in the North American market, where K-Line Ag equipment has been sold since 2013 and where Case IH is a leading tillage brand.
“As a company, we’re increasingly focused on tillage and seeding methods that promote sustainability and soil protection, and the suite of products that K-Line Ag has developed fits perfectly with this direction,” Stannett says.
“We’re proud to bring K-Line Ag into the CNH Industrial agriculture stable and know that together we can continue to raise the bar with equipment that satisfies the needs of farmers looking for sustainable farming solutions that don’t compromise on efficiency and productivity.”
CNH added that K-Line Ag’s Speedtiller dual-purpose disc-tillage machine had come to its attention because “it proved to be the only high-speed tillage tool designed for deep and shallow settings that delivered uniform results to depth, giving producers ideal seedbed preparation without agronomic compromise.