Linamar announces deal to acquire Salford for $260 million


Manufacturing company Linamar Corporation has announced a deal to acquire Ontario-based fertilizer and tillage equipment-maker, Salford Group.

The agreement would see Linamar, which has its headquarters in Guelph, Ont., pay approximately C$260 million to Salford’s shareholders.

The acquisition would expand Linamar’s agriculture business, which is currently centred around MacDon Industries.

“Agriculture and food is a key element of our Linamar 2100 strategic roadmap, which was first outlined following our acquisition of MacDon in 2018,” says Jim Jarrell, Linamar’s President and COO. “Through MacDon, we already have an established market-leading position in the harvesting segment.  Tillage and crop nutrition are a natural complement to that product portfolio which will allow us to accelerate sales of all products. Combining Linamar’s scaled resources and global reach with Salford’s leading reputation, will drive value creation for all stakeholders.”

Salford’s lineup includes pneumatic and spinner type fertilizer spreaders, cover crop seeders, and a range of tillage equipment and is headquartered in Salford, Ont., with three manufacturing locations in Canada and two in the U.S.

“We are very excited to join the Linamar family,” says Geof Gray, president of Salford Group. “Linamar and MacDon both have excellent reputations in the industry and we believe the combination of our resources, our respective brand strengths and distribution networks will enable Salford to compete and innovate at a higher level with greater market coverage, delivering even more value to dealers and farmers.”

The agreement is expected to close during the second quarter of 2022, subject to the usual closing conditions and regulatory approval.

Linamar previously owned White Farm Equipment in the 1980s, along with Western Combine, who made combines under the Massey Ferguson brand in the 1990s. Linamar’s OROS Division in Eastern Europe also builds corn and sunflower headers.

Salford says its existing manufacturing and distribution network would continue to make and sell products under the Salford brand after the sale. The company’s head office would also remain in Salford, Ont.

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