MachineryLink

OMAHA (DTN) -- Ontario-based agricultural manufacturer Linamar Corp. announced this week that it has agreed to buy Bourgault Industries Ltd, a Saskatchewan-based manufacturer for $640 million CAN ($482.65 million).

Started by the Bourgault family in the 1970s, Bourgault is generally known for its tillage and seeding equipment, which Linamar executives cited as one of the attractions for acquiring Bourgault.

In describing the purchase, Linamar stated that adding Bourgault would boost its "industrial segments diversified offerings and advance its position as a leading short-line agriculture equipment manufacturer." Linamar added Bourgault is considered "a world-class agriculture equipment manufacturer regarded as a market and technology leader in broad acre seeding."

Bourgault, which will become part of a new division within Linamar, also complements Linamar's harvest brand MacDon and tillage and crop nutrition area Salford. Bourgault will help Linamar "increase its market position as it now possesses a full lineup of products in the broader crop production cycle, from field preparation, to seeding, crop nutrition, harvest and post-harvest."

Linamar noted, "The acquisition includes Bourgault's Highline Manufacturing division which produces hay handling and livestock feeding equipment, as well as roto-moulding producer Free Form Plastics."

Linamar, which has 31,000 employees in 19 countries, had $7.9 billion CAN in sales in 2022. Bourgault marked Linamar's third acquisition in 2023.

"We are thrilled to welcome Bourgault Industries into the Linamar family. Bourgault is another Canadian manufacturing success story that draws many similarities to Linamar's history of entrepreneurism and technical innovation," said Linda Hasenfratz, executive chair and CEO of Linamar.

Hasenfratz added, "The Bourgault name is synonymous with broad acre agricultural seeding innovation and offers a tremendous opportunity for Linamar to further diversify and grow our agriculture platform, as well as our Industrial segment overall."

Jim Jarrell, Linamar's president and COO, added in a news release that the acquisition would help enable the company "to better serve the core Western Canadian and U.S. Midwest farm

base."

Gerry Bourgault, president of Bourgault, said the company was started by his father. "The Bourgault family is incredibly proud of the legacy we have created both here in in St. Brieux, Saskatchewan, but also around the world. We are excited to have our team of over 900 people in Saskatchewan, and over 1000 worldwide, join the Linamar family," Gerry Bourgault said. "Linamar has a proven track record for not only successfully integrating acquired companies, but also for their manufacturing expertise and business execution overall. I am confident Linamar will take the Bourgault brand to new heights in its next chapter, while also allowing Bourgault to maintain and build upon its deep-rooted connections to its stakeholders in Saskatchewan and around the world."

Linamar expanded its offerings through multiple acquisitions in 2023, including buying the U.S. assets of Mobex involving manufacturing operations for chassis, suspensions, steering and other parts. Linamar also acquired a company that makes batter enclosures for electric vehicle applications.

Chris Clayton can be reached at Chris.Clayton@dtn.com

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