Others

Other Deals

Tractor maker TAFE buys back US co. AGCO’s stake for $260-M; ends 15-month dispute

Business Standard  

Tractor makers Chennai-based Tractors and Farm Equipment (Tafe) and the US-based Agco Corporation have reached an out-of-court settlement on the dispute regarding the ownership of the Massey Ferguson brand in India, with TAFE retaining ownership of the iconic brand on an exclusive basis in India, Nepal, and Bhutan.As part of the deal, Tafe will buy back Agco’s 20.7 % stake in Tafe, for USD 260 million, thereby making Tafe a wholly owned subsidiary of Amalgamations Group.TAFE has also agreed to retain its shareholding in Agco at an ownership level of 16.3 %, and not exceed it, while participating in Agco’s future buyback programmes to maintain its proportionate ownership.