New Holland scoops up Case Group
New Holland has agreed to acquire US rival Case Corp for about US$4.3 billion (£2.65bn).
Umberto Quadrino, New Holland chief executive, said the combined entity would be better placed to compete with international giants such as Caterpillar, John Deere and Japans Komatsu. The new group would have annual sales of about $12bn and would be one of the leaders in farm equipment sales, rivalling Deere.
It will create the worlds second biggest maker of tractors and other farm equipment.
Fiat, the Italian automotive manufacturer, which at present owns 71% of New Holland, will retain a similar stake in the merged group.
Case cut its operations heavily last year in the face of the depressed market for farm equipment. Cost savings from the merger of operations are expected to mount to $400m to $500m.
- New Holland and Case to merge, FWi, yesterday (17 May, 1999)
- The Times 18/05/02/99 page 28
- The Independent 18/05/02/99 page 16 (Briefing)
- Financial Times 18/05/99 page 32
- The Guardian 18/05/99 page 23
- The Herald 18/05/99 page 23