Deere to acquire Wirtgen Group
In an all-cash transaction deal, Deere & Company has signed a definitive agreement to acquire the Wirtgen Group, a worldwide leading manufacturer of road construction equipment. The total transaction value is approximately ? 4.6 billion ($ 5.2 billion based on current exchange rates), including the assumption of net debt and other consideration.

Head quartered in Germany, the Wirtgen Group has five premium brands across the entire road construction sector spanning milling, processing, mixing, paving, compaction and rehabilitation. Wirtgen?s highly complementary product portfolio enhances Deere?s existing construction equipment offering and establishes Deere as an industry leader in global road construction. The Wirtgen Group has a global footprint with approximately 8,000 employees and sells products in more than 100 countries through a large network of company-owned and independent dealers.

According to a press release from Deere, the company plans to maintain the Wirtgen Group's existing brands, management, manufacturing footprint, employees and distribution network. The combined business is expected to benefit from sharing best practices in distribution, customer support, manufacturing and technology as well as in scale and efficiency of operations.

The transaction has been approved by Deere?s Board of Directors. The purchase is subject to regulatory approval in several jurisdictions as well as certain other customary closing conditions. Both the companies expect to close on the transaction in the first quarter of Deere's 2018 fiscal year.