Titan Machinery this week announced it has entered into an agreement to acquire Toner’s Inc., which consists of three CaseIH agricultural equipment dealerships located in Grand Island (currently “Toner’s Inc.”), Broken Bow (currently “Red Line Equipment”) and Ord (currently “Ord Equipment”), Neb. The acquisition is expected to close on or around Nov. 1.
Toner’s three dealerships are strategically located in a diverse agriculture market with the primary crops being corn and soybeans, as well as livestock diversification. Toner’s three locations offer synergies with Titan Machinery’s existing stores in Kearney, Lexington, North Platte and Hastings, Neb., and also benefit from agricultural irrigation with water sourced from the Ogallala Aquifer. In its most recently reported fiscal year, Toner’s Inc. reported revenues of approximately $44.5 million.
“Toner’s Inc. is an excellent addition to the Titan Machinery network,” said David Meyer, Titan Machinery’s chairman and CEO. “Founder Larry Toner along with his sons Steve and Jim and their teams have built an excellent business. Years of customer support have created a strong heritage and loyal following for the CaseIH Brand. We are also excited to have a CaseIH store located in the same town as the Grand Island CaseIH combine manufacturing plant. We look forward to integrating our new locations into our network and expect that they will be strong top and bottom line contributors to our business.”
In other company news, Titan Machinery received approval from CNH International SA to form a subsidiary of Titan Machinery Inc., Titan Machinery Ukraine, Ltd., to serve as a CaseIH distributor of agricultural products in the Kiev, Zhitomir, Chernigov, and Vinnitsa regions of Ukraine. The company expects to open new dealerships in these regions.
“We are excited about the opportunity to further our international presence with the formation of a subsidiary in Ukraine,” Meyer said. “This complements our existing Eastern Europe footprint in Romania and Bulgaria. We have been participating in the Ukraine market through export sales for several years and have developed strong relationships with many of the country’s top producers and believe this expansion of our geographic footprint will generate long-term opportunities for our company.”
Titan Machinery Inc., West Fargo, N.D., owns and operates a network of full-service agricultural and construction equipment stores, including growing equipment rental operations, in the United States and Europe. It is No. 41 on the RER 100.
