Latest news with #MallikaSrinivasan
Time of India
5 hours ago
- Business
- Time of India
Tafe, AGCO end dispute over tractor brand
Indian tractor maker Tafe and US-based agri-machinery company AGCO have reached a "comprehensive settlement and resolution" after months of disagreement over brand rights, among other issues, which had led to legal proceedings. The agreement, which resolves all disputes between Chennai-based Tractors and Farm Equipment (Tafe) and AGCO, will make Tafe the exclusive owner of Massey Ferguson brand for India, Nepal and Bhutan. Under the settlement, Tafe will buy back Agco's 20.7% stake in the company for $260 million. This will make Tafe a wholly owned subsidiary of the Amalgamations group. Tafe will retain its shareholding in AGCO at an ownership level of 16.3%, and not exceed it, while participating in AGCO's future buyback programmes. Tafe will remain a long-term investor in AGCO through periodic interactions with AGCO leadership, said a Tafe statement. All commercial agreements between Tafe and AGCO will be mutually terminated. However, Tafe will honour outstanding supply orders and continue to supply parts for all markets on agreed terms, the statement said. It will also mean that all ongoing legal proceedings will be unconditionally withdrawn. "A consent decree will be sought in the three suits relating to Massey Ferguson brand-currently pending before the Madras High Court in India," said the Tafe statement. The agreements will become effective following the completion by AGCO and Tafe of certain governmental and other processes in India relating to the repurchase of the shares held by AGCO in Tafe. "We recognize and cherish the long partnership we've had with Agco and continue to support Agco as an engaged shareholder," said Mallika Srinivasan, CMD of Tafe. Tafe and Massey Ferguson have been synonymous in the minds of the Indian customers for over 65 years," she added. In Sept 2024, AGCO Corporation terminated multiple agreements with TAFE, including the Massey Ferguson brand license agreement, a distributor agreement for India, Nepal, and Bhutan.
The Print
a day ago
- Business
- The Print
TAFE, AGCO settle feud over Massey Ferguson brand outside court
Under the settlement, ownership of the Massey Ferguson brand will rest with TAFE as the sole and exclusive owner for India, Nepal and Bhutan. TAFE said it will hold all rights, title and interest in 'Massey Ferguson' and related trademarks and all goodwill associated therewith. In separate statements, the two companies said they have settled all matters relating to the Massey Ferguson brand, commercial issues and shareholding, thus ending their corporate feud. New Delhi, Jul 1 (PTI) Tractors and Farm Equipment Ltd (TAFE) and AGCO Corporation on Tuesday announced a comprehensive out-of-court settlement of all outstanding disputes, with the Indian firm agreeing to buy out the US-based firm's shareholding in it for USD 260 million (nearly Rs 2,225 crore). Besides, TAFE will buy back AGCO's shares in itself, which amounts to 20.7 per cent of the domestic tractor maker's equity, for a consideration of USD 260 million, making TAFE a wholly-owned subsidiary of the Amalgamations Group, a diversified industrial conglomerate, headquartered in Chennai, it added. TAFE will also retain its shareholding in AGCO at an ownership level of 16.3 per cent and not exceed it, while participating in AGCO's future buyback programs to maintain its proportionate ownership subject to certain exceptions, it stated. As part of the settlement, TAFE will support AGCO by voting its shares in favour of all the recommendations of AGCO's Board of Directors at shareholder meetings, subject to certain exemptions, the Chennai-based firm said. Besides, TAFE will remain a long-term investor in AGCO, it added. While all commercial agreements between TAFE and AGCO will be mutually terminated, TAFE will honour outstanding supply orders and continue to supply parts for all markets on agreed terms, it stated. AGCO, in its statement, said, 'Parties have agreed to mutual non-disparagement and TAFE not engaging in public activism. TAFE will no longer be entitled to nominate a representative to the AGCO Board of Directors and AGCO's Director on TAFE's Board will step down.' The two companies said their agreements will become effective upon the completion by AGCO and TAFE of certain governmental and other processes in India relating to the repurchase of the shares held by AGCO in TAFE. 'As we step into a new era in TAFE's growth story, we recognise and cherish the long partnership we've had with AGCO, and continue to support AGCO as an engaged shareholder,' TAFE Chairman & Managing Director Mallika Srinivasan said. Stating that TAFE and Massey Ferguson have been synonymous in the minds of the Indian customers for over 65 years, she said, 'We re-dedicate our commitment to transformation of Indian agriculture through our innovative products, solutions and service to the farming community in India.' AGCO Chairman, President and CEO Eric Hansotia welcomed the reaching of an amicable resolution with TAFE on all outstanding commercial, governance and shareholding matters. 'We appreciate the TAFE relationship for its years as a commercial partner and continued support as a shareholder. AGCO's Board and management team are fully focused on our Farmer-First strategy, which we believe will improve outcomes for farmers, drive operational success for our company and deliver strong returns for shareholders,' Hansotia said. AGCO said it will file the agreements with the US Securities and Exchange Commission. Last year in September, AGCO Corporation terminated multiple agreements with TAFE, including the Massey Ferguson brand license agreement, a distributor agreement for India, Nepal, and Bhutan. Subsequently, a legal battle followed with TAFE taking the matter to the Madras High Court. PTI MSS RKL MR This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.
Indian Express
2 days ago
- Business
- Indian Express
Tafe settles with AGCO, will own brand Massey Ferguson
Tractors and Farm Equipment Ltd (TAFE), one of the world's largest manufacturers of tractors and farm equipment, has reached a comprehensive settlement and resolution with US-based AGCO Corporation on all matters relating to brand, commercial issues and shareholding. TAFE will buy back AGCO's shares in TAFE which amounts to 20.7 per cent of TAFE's equity for a consideration of $260 million thereby making TAFE a wholly-owned subsidiary of the Amalgamations Group, a diversified industrial conglomerate, headquartered in Chennai. TAFE will retain its shareholding in AGCO at an ownership level of 16.3 per cent, and not exceed it, while participating in AGCO's future buyback programmes to maintain its proportionate ownership subject to certain exceptions, TAFE said in a statement. As part of the settlement, ownership of Massey Ferguson brand will rest with TAFE as the sole and exclusive owner for India, Nepal and Bhutan including all rights, title and interest in 'Massey Ferguson' and related trademarks and all goodwill associated therewith, TAFE said. 'TAFE will support AGCO by voting of its shares in favour of all the recommendations of AGCO's Board of Directors at shareholder meetings, subject to certain exemptions,' TAFE said. TAFE will remain a long-term investor in AGCO through planned periodic interactions with AGCO leadership. 'While all commercial agreements between TAFE and AGCO will be mutually terminated, TAFE will honour outstanding supply orders and continue to supply parts for all markets on agreed terms,' it said. 'All ongoing legal proceedings will be irrevocably and unconditionally withdrawn. A consent decree will be sought in the three suits relating to Massey Ferguson brand-currently pending before the Madras High Court in India,' TAFE said. The agreements will become effective upon the completion by AGCO and TAFE of certain governmental and other processes in India relating to the repurchase of the shares held by AGCO in TAFE. Mallika Srinivasan, Chairman & Managing Director, TAFE, said, 'As we step into a new era in TAFE's growth story, we recognize and cherish the long partnership we've had with AGCO, and continue to support AGCO as an engaged shareholder.' 'TAFE and Massey Ferguson have been synonymous in the minds of the Indian customers for over 65 years. We re-dedicate our commitment to transformation of Indian agriculture through our innovative products, solutions and service to the farming community in India. As we move towards our vision of 'Cultivating the World', we are confident of delivering exceptional value to all our stakeholders,' she said.
The Hindu
2 days ago
- Business
- The Hindu
TAFE, AGCO reach settlement on brand rights, commercial, shareholding
Tractors and Farm Equipment Ltd. (TAFE ) and NYSE-listed AGCO Corporation said they had reached comprehensive settlement covering brand rights, commercials and shareholding. As per the settlement, the ownership of Massey Ferguson brand will rest with TAFE as the sole and exclusive owner for India, Nepal and Bhutan, including all rights, title and interest in 'Massey Ferguson' and related trademarks and all goodwill associated therewith. TAFE has agreed to buy back AGCO's shares in TAFE which amounts to 20.7% of TAFE's equity for a consideration of $260 million thereby making TAFE a wholly owned subsidiary of the Chennai based Amalgamations Group. Besides this TAFE will 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 subject to certain exceptions. TAFE has agreed to support AGCO by voting in its favour all recommendations of AGCO's board of directors at shareholder meetings, subject to certain exemptions and will remain a long-term investor in AGCO through planned periodic interactions with AGCO leadership. 'While all commercial agreements between TAFE and AGCO will be mutually terminated; TAFE will honour outstanding supply orders and continue to supply parts for all markets on agreed terms,' both the companies said. 'All ongoing legal proceedings will be irrevocably and unconditionally withdrawn. A consent decree will be sought in the three suits relating to Massey Ferguson brand-currently pending before the Madras High Court in India,' they said. 'The agreements will become effective upon the completion by AGCO and TAFE of certain governmental and other processes in India relating to the repurchase of the shares held by AGCO in TAFE,' they added. Mallika Srinivasan, Chairman & Managing Director - TAFE in a statement said, 'As we step into a new era in TAFE's growth story, we recognise and cherish the long partnership we've had with AGCO, and continue to support AGCO as an engaged shareholder.' 'TAFE and Massey Ferguson have been synonymous in the minds of the Indian customers for over 65 years. We re-dedicate our commitment to transformation of Indian agriculture through our innovative products, solutions and service to the farming community in India,' she added. 'We are pleased to have reached an amicable resolution with TAFE on all outstanding commercial, governance and shareholding matters,' said Eric Hansotia, AGCO's Chairman, President and CEO in a statement. 'We appreciate the TAFE relationship for its years as a commercial partner and continued support as a shareholder. AGCO's Board and management team are fully focused on our Farmer-First strategy, which we believe will improve outcomes for farmers, drive operational success for our company and deliver strong returns for shareholders,' he added.
Business Upturn
2 days ago
- Business
- Business Upturn
TAFE to buy back AGCO's 20.7% stake for $260 million, gains exclusive ownership of Massey Ferguson brand in India
Tractors and Farm Equipment Limited (TAFE) has announced a comprehensive settlement with US-based AGCO Corporation, covering brand rights, equity shareholding, and commercial arrangements. As part of the agreement, TAFE will acquire AGCO's 20.7% stake in the company for $260 million (approximately Rs 2,165 crore), making TAFE a wholly owned subsidiary of the Chennai-based Amalgamations Group. Following this transaction, TAFE will gain sole and exclusive ownership of the Massey Ferguson brand across India, Nepal, and Bhutan, including all related trademarks and goodwill. TAFE will continue to retain its 16.3% equity stake in AGCO and has agreed not to exceed this level. The company will also participate in AGCO's future share buyback programs to maintain its proportional ownership, subject to specified conditions. Additionally, all existing commercial agreements between TAFE and AGCO will be terminated. However, TAFE will fulfill pending supply orders and continue parts support under agreed terms. Both companies have agreed to withdraw all ongoing legal proceedings, including those before the Madras High Court concerning the Massey Ferguson brand. The agreement will take effect following necessary regulatory and procedural approvals in India. TAFE Chairman and Managing Director Mallika Srinivasan expressed gratitude for the long-standing partnership with AGCO and reiterated the company's commitment to Indian agriculture and its dealer and customer base. Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information. Ahmedabad Plane Crash Aditya Bhagchandani serves as the Senior Editor and Writer at Business Upturn, where he leads coverage across the Business, Finance, Corporate, and Stock Market segments. With a keen eye for detail and a commitment to journalistic integrity, he not only contributes insightful articles but also oversees editorial direction for the reporting team.
