HIAWATHA, KS, Feb. 27, 2017 /PRNewswire/ - AgJunction, Inc. (TSX:AJX), a leading provider of innovative hardware and software solutions for precision agriculture, and Reichhardt GmbH Steuerungstechnik, a global innovator and supplier of automated agricultural and farming products and equipment, have entered into a letter of intent (LOI) under which Reichhardt will license certain AgJunction patents.
The LOI sets forth certain basic terms under which the parties will negotiate a non-exclusive worldwide license to certain AgJunction patents in exchange for a license fee. It also provides the basis for a deeper collaboration between the parties related to developing, marketing, and selling steering solutions containing Reichhardt's patented sensor guidance technology.
Regarding the LOI, Dave Vaughn, CEO of AgJunction said: "We are excited about expanding our collaboration with Reichhardt who is recognized globally for their engineering excellence and highly reliable products. This agreement will allow customers of both companies access to best in class steering and sensor solutions for their worldwide market requirements."
Reichhardt's CEO, Andreas Reichhardt, stated, "We have enjoyed our long-standing relationship with AgJunction and this agreement will allow for much deeper engineering and technology collaboration between our two companies with the goal of increasing our solutions portfolio for our current and planned OEM partners."
Final terms of the transaction are subject to required corporate approvals and execution of definitive agreements. The terms of the LOI are solely for the convenience of the parties in connection with the drafting and negotiation of definitive written agreements, and are not legally binding.
Reichhardt has a 30-year history developing innovative customized electronic solutions for the leading OEMs in the agriculture and construction industries. Headquartered in Germany, Reichhardt is the top supplier for sensor guidance in the global ag machinery market and is renowned for its proven row guidance solutions. The company specializes in steering solutions based on GNSS and sensors, their innovative correction data service RTK CLUE, and offers a wide range of products based on ISO 11783. Reichhardt employs 130 professionals in its locations in Germany and the USA. For more information, please visit www.reichhardt.com.
AgJunction (www.agjunction.com) provides innovative hardware and software applications for precision agriculture worldwide. The Company holds more than 140 patents and markets its products and services under leading brand names including Novariant, Outback Guidance® and Satloc®. AgJunction is headquartered in Hiawatha, Kansas, with executive offices in Fremont, California, and facilities in Scottsdale, Arizona; Winnipeg, Manitoba; and Brisbane, Queensland, Australia. AgJunction is listed on the Toronto Stock Exchange (TSX) under the symbol "AJX." For more information, please visit www.agjunction.com.
Reader Advisory and Note Regarding Forward Looking Information
This press release contains forward-looking information and forward-looking statements (collectively, "forward-looking information") within the meaning of applicable securities laws and is based on the expectations, estimates and projections of management of AgJunction as of the date of this news release, unless otherwise stated. The use of any of the words "expect," "anticipate," "may," "will," "should," "believe," "intends" and similar expressions are intended to identify forward-looking information. In respect of the forward-looking information, AgJunction has provided such information in reliance on certain assumptions that it believes are reasonable at this time. Readers should not place undue reliance on such forward-looking information contained in this press release since forward-looking information addresses future events and conditions, such information by its very nature involves inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. This press release is for informational purposes only and does not constitute an offer to sell or a solicitation to buy any security which may be referenced herein.
SOURCE Agjunction Inc.