AGCO Completes Acquisition of Ag-Chem Equipment Co., Inc.; Purchase Gives AGCO the Leader in Self-Propelled Sprayer Market

Apr 16, 2001, 01:00 ET from AGCO Corporation

    DULUTH, Ga., April 16 /PRNewswire/ --
 AGCO Corporation (NYSE:   AG), a major worldwide designer, manufacturer and
 distributor of agricultural equipment, today announced that it has completed
 the acquisition of Ag-Chem Equipment Co., Inc. (Nasdaq:   AGCH), a leading
 manufacturer and distributor of specialized off-road heavy equipment for
 agricultural and industrial applications.  Ag-Chem's shareholders approved the
 acquisition at a special meeting of shareholders held today.  Ag-Chem
 shareholders will receive total consideration of $25.80 per Ag-Chem common
 share consisting of 1.2317 shares of AGCO common stock and $15.3958 cash.
 Ag-Chem shareholders should receive instructions in the next week from
 SunTrust Bank, AGCO's transfer and the exchange agent for the merger, on where
 and how to surrender their Ag-Chem share certificates in order to receive
 their AGCO share certificate and the cash to be paid to them.
     The acquisition of Ag-Chem gives AGCO the leading position in the self-
 propelled sprayer market.  Ag-Chem, headquartered in Minnetonka, Minnesota,
 had estimated 2000 year sales of $299 million.  The primary focus of Ag-Chem
 is agricultural machinery designed for the application of fertilizer and
 chemicals to farm fields.
     Ag-Chem will operate as a division of AGCO.  Mr. Ron Hess has been
 appointed Vice President and Managing Director of Ag-Chem.
     AGCO Corporation, headquartered in Duluth, Georgia, is a global designer,
 manufacturer and distributor of agricultural equipment and related replacement
 parts.  AGCO products are distributed in 140 countries.  AGCO offers a full
 product line including tractors, combines, hay tools, sprayers, forage
 equipment and implements through more than 7,750 independent dealers and
 distributors around the world.  AGCO products are distributed under the brand
 names AGCO(R)Allis, AGCOSTAR(R), Farmhand(R), FENDT(TM), Fieldstar(R),
 GLEANER(R), Glencoe(R), Hesston(R), Massey Ferguson(R), New Idea(R),
 Spra-Coupe(R), Tye(R), White Tractors, White Planters and Willmar(R).  AGCO
 provides retail financing through AGCO Finance in North America and through
 Agricredit in the United Kingdom, France, Germany, Ireland, Spain and Brazil.
 In 2000, AGCO had sales of $2.3 billion.
     Please visit our website at www.agcocorp.com .
 
 

SOURCE AGCO Corporation
    DULUTH, Ga., April 16 /PRNewswire/ --
 AGCO Corporation (NYSE:   AG), a major worldwide designer, manufacturer and
 distributor of agricultural equipment, today announced that it has completed
 the acquisition of Ag-Chem Equipment Co., Inc. (Nasdaq:   AGCH), a leading
 manufacturer and distributor of specialized off-road heavy equipment for
 agricultural and industrial applications.  Ag-Chem's shareholders approved the
 acquisition at a special meeting of shareholders held today.  Ag-Chem
 shareholders will receive total consideration of $25.80 per Ag-Chem common
 share consisting of 1.2317 shares of AGCO common stock and $15.3958 cash.
 Ag-Chem shareholders should receive instructions in the next week from
 SunTrust Bank, AGCO's transfer and the exchange agent for the merger, on where
 and how to surrender their Ag-Chem share certificates in order to receive
 their AGCO share certificate and the cash to be paid to them.
     The acquisition of Ag-Chem gives AGCO the leading position in the self-
 propelled sprayer market.  Ag-Chem, headquartered in Minnetonka, Minnesota,
 had estimated 2000 year sales of $299 million.  The primary focus of Ag-Chem
 is agricultural machinery designed for the application of fertilizer and
 chemicals to farm fields.
     Ag-Chem will operate as a division of AGCO.  Mr. Ron Hess has been
 appointed Vice President and Managing Director of Ag-Chem.
     AGCO Corporation, headquartered in Duluth, Georgia, is a global designer,
 manufacturer and distributor of agricultural equipment and related replacement
 parts.  AGCO products are distributed in 140 countries.  AGCO offers a full
 product line including tractors, combines, hay tools, sprayers, forage
 equipment and implements through more than 7,750 independent dealers and
 distributors around the world.  AGCO products are distributed under the brand
 names AGCO(R)Allis, AGCOSTAR(R), Farmhand(R), FENDT(TM), Fieldstar(R),
 GLEANER(R), Glencoe(R), Hesston(R), Massey Ferguson(R), New Idea(R),
 Spra-Coupe(R), Tye(R), White Tractors, White Planters and Willmar(R).  AGCO
 provides retail financing through AGCO Finance in North America and through
 Agricredit in the United Kingdom, France, Germany, Ireland, Spain and Brazil.
 In 2000, AGCO had sales of $2.3 billion.
     Please visit our website at www.agcocorp.com .
 
 SOURCE  AGCO Corporation