Linamar Expands Agriculture Portfolio Via Salford Group Acquisition For C$260M

GenNx360 Capital Partners, a New York-based private equity firm, has agreed to sell its portfolio company, Salford Group, a manufacturer of tillage and crop nutrition application equipment, to Linamar Corp LNR LIMAF for C$260 million.
The acquisition will expand Linamar's agriculture portfolio. Following the acquisition, Salford Group will continue to leverage its established manufacturing and distribution network to sell products under the Salford brand.
Linamar intends to use funds available through its existing credit facilities to complete the transaction. It held C$928.4 million in cash and C$957.5 million available cash on credit facilities as of Q4-end.
Linamar expects the purchase to close during the second quarter of 2022.
Price Action: LNR shares are trading higher by 5.51% at C$51.91 on TSX, and LIMAF is higher by 4.74% at $40.43 on the last check Thursday.