Family-owned company Lemken has major plans to expand its product portfolio in Mzansi. The German agricultural machinery specialist has just reached an acquisition agreement with South African-based seeding tech company Equalizer.
Lemken is a specialist in tillage implements, seed drills, hoeing machines, fertiliser spreaders and smart solutions for agricultural data management.
Lemken CEO Anthony van der Ley says that the acquisition is expected to be completed by spring 2023 once regulatory approvals have been approved.
Acquisition for growth
Van der Ley sang South African-based Equalizer’s praises and says that he believes Equalizer’s portfolio aligns with the Lemken seed drill segment and constitutes an important stumbling block for growth.
“There is no overlap in our portfolios. Equalizer offers solutions for customers and markets that Lemken has not been able to serve so far. In terms of our growth strategy, the Equalizer planters, and seeders – also in combination with air carts – close a current gap in our product range.”
With a focus on minimal ground disturbance to no-till farming, the Equalizer product range includes precision planters with up to 36 rows and seed drills with a working width of up to 24 metres.
An additional, optimal synergy arises for Lemken precision seeding technology, as the Delta-Row technology developed by Lemken is complemented by single-row technology, established by Equalizer.
Family business moving forward
Equalizer, which is also a family business, was founded in Cape Town in 2000 and currently employs 180 people. The company serves not only its South African home market, where it is the market leader in precision seeding, but also Australia as its most important export market.
“We see great potential for new products with Lemken on our side, and we look forward to our future collaboration. At the same time, we are proud that this agreement reaffirms the success and hard work of the entire Equalizer team and our local dealers over the past 22 years,” says Gideon Schreuder, Equalizer’s founder and managing director.
Lemken says it is committed to this promise and wants to expand the South African site together with Equalizer.
The first definite project is the extensive expansion of spare parts logistics in 2023. All of Equalizer’s experienced local staff will be retained.
Equalizer will continue to be led as an independent subsidiary by its current management, and the brand name will be preserved. Of course, the German agricultural machinery specialist will contribute its development, production, and sales expertise to support Equalizer’s future growth.
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