John Deere Announces Acquisition of Unimil, a Sugarcane Harvester Parts Provider from Brazil

Posted by IronPlanet on Oct 23, 2019 6:21:53 PM

John Deere recently signed an agreement to purchase Unimil, a Brazilian company specializing in aftermarket parts for sugarcane harvesters. In the announcement, President of Deere’s Worldwide Agriculture and Turf Division in the Americas Cory Reed recognized Unimil’s outstanding reputation in the sugarcane business, and praised their cultivation of a loyal client base through “excellent service and products.” Should the deal go through as expected, the joint companies will further expand John Deere’s reach into the expansive sugarcane industry of Brazil.          

The acquisition follows Deere’s push into sugarcane harvesting including the launch of the redesigned CH570 sugarcane harvester in 2015, which has helped sugarcane producers maximize productivity and reduce costs. In combination with their efficient machinery, John Deere anticipates the Unimil deal to provide an “expanded portfolio of parts” for customers in Brazil and more “cost-effective solutions.”  

John Deere Remains Committed to Customers in the Sugarcane Industry 

Founded in 1999, Unimil has established themselves as a leader in the sugarcane parts market from their headquarters in Piracicaba, Bazil. The company will keep its name, current roster of 430 employees and current direct-to-consumer business model. Additionally, the company will now provide extra services and parts to customers as part of the John Deere umbrella.   

In their press release, John Deere highlighted the move as a commitment to their customers in the Brazilian sugarcane industry. Supplying one-third of the global sugarcane output and double any other country, Brazil is by far the largest sugarcane producer in the world. Along with JD Link, a connected support service that helps “maximize equipment up time and grower productivity,” the equipment company appears to be seeking long-term investments that will provide comprehensive, cost-reduction strategies for harvesters in the region.      

John Deere will not make financial details of the deal public as of the announcement and will need approval from regulators before finalization. 


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[Photo courtesy of Carlos Ebert]


Topics: Press Releases, 2019