Deere makes conditional offer for Israel's BHC Manufacturing

Deere & Company today said that it had made a conditional offer to purchase parts of BHC Manufacturing, which is located near Beit Hashita, Israel. It did not disclose any financial details.

BHC, which employs approximately 110 people, is a manufacturer of cotton picker repair parts for all makes of equipment and a supplier of cotton picker row units for other equipment manufacturers.

The acquisition would allow Deere to expand its products and services in the company's already successful cotton picker business.

"John Deere continues to focus on a strategy of global growth," said Mark von Pentz, president, agriculture and turf division. "This commitment extends to serving cotton customers around the world. By combining the manufacturing assets of BHC with Deere's existing manufacturing capacity, John Deere will have improved capability, efficiency, and geographic reach to satisfy customer needs."

Deere said the conditional offer is contingent upon the satisfactory completion of due diligence. Terms of the transaction were not made public. Deere said it anticipates completing due diligence in the 2nd quarter of its 2010 fiscal year.

John Deere is a world leader in providing advanced products and services for agriculture, forestry, construction, lawn and turf care, landscaping and irrigation. John Deere also provides financial services worldwide and manufactures and markets engines used in heavy equipment.

Since it was founded in 1837, the company has extended its heritage of integrity, quality, commitment and innovation around the globe.