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- AgTech Digest: AGCO Completes JV With Trimble, Lindsay Corporation Invests In Pessl Instruments & More
AgTech Digest: AGCO Completes JV With Trimble, Lindsay Corporation Invests In Pessl Instruments & More
Discover this week's latest developments in the world of AgTech!
Good morning readers! This week, we have some exciting developments to bring to you from the AgTech industry. We will be covering the completion of the joint venture between AGCO Corporation and Trimble, and the investments made by Lindsay Corporation in Pessl Instruments. Additionally, we will be sharing the latest funding round announcements made by Orchard & BioConsortia. Stay tuned for all the details!
Let’s dive into the news!
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Mergers, Acquisitions & Investments
AGCO Corporation Announces Completion of JV With Trimble
AGCO and Trimble have formed PTx Trimble, a joint venture that merges Trimble’s precision agriculture business with AGCO’s JCA Technologies. The partnership aims to increase productivity and profitability for farmers while emphasizing sustainability. AGCO holds a majority stake of 85%, while Trimble retains 15% in PTx Trimble. The venture is expected to contribute significantly to AGCO’s precision agriculture revenues, projected to exceed $2.0 billion by 2028.
Lindsay Corporation Invests in Pessl Instruments
Lindsay Corporation has invested in Pessl Instruments, acquiring a minority stake with prospects for complete ownership. Pessl is a leader in advanced agricultural technology, renowned for its IoT hardware and software tools for agronomic decision-making. The partnership between the two companies aims to drive groundbreaking advancements in water management and agtech solutions. This investment reinforces both companies' leadership in the agtech sector.
Randy Wood, President and CEO of Lindsay, expressed enthusiasm for the partnership’s potential to drive groundbreaking advancements in water management and agtech solutions. This collaboration not only aims to enhance global outreach but also to introduce novel solutions for conserving natural resources and maximizing agricultural productivity.
Redox Bio-Nutrients Expands International Presence Through Strategic Acquisition
Redox Bio-Nutrients has acquired a 10% stake in Axxion Corporation LLC to enhance its global presence, particularly in the Japanese market. Axxion supplies fertilizers and moisture management surfactants to golf courses and agricultural crops across Japan. Qvou, Inc. emerges as the majority shareholder in this partnership, holding an 80% stake. Colton Moon, President of Redox Bio-Nutrients, will join Axxion’s Board alongside Kubo and Ogata.
Funding Round
Orchard Robotics Raises $3.8M to Advance Precision Agriculture
Orchard Robotics, a company that offers advanced AI technology for precise crop data collection, has recently raised $3.8 million across seed and pre-seed rounds with significant interest from a variety of investors. By providing detailed insights into each tree’s health and output, Orchard Robotics aims to increase crop yield and quality sustainably, thus having a positive impact on farming. The technology promises to transform the agriculture industry, and the company is supported by notable investors and validated by use among major fruit growers. With this investment, Orchard Robotics' mission to extend precision crop management practices will be fueled, benefiting farmers and the supply chain alike.
BioConsortia Secures $15M In Latest Funding Round
BioConsortia, Inc. has recently completed an internal financing round to develop microbial products that boost crop yields and provide environmentally friendly control of nematodes, fungi, and soil insects. Led by Otter Capital, the financing reflects confidence in BioConsortia's advances in microbial gene-editing technology. The funds will be used to expand field trial programs, enhance research in microbial gene editing, strengthen intellectual property, and upgrade fermentation and formulation capabilities. The company plans to commercialize its biofungicide, bionematicide, postharvest decay control, and nitrogen-fixing products beginning in 2024.
Plant Science
Ceradis Crop Protection’s CeraMax® Granted Label for Red Crown Rot Suppression in Soybeans
Ceradis Crop Protection B.V. has achieved a significant milestone with the Section 2(ee) label approval for CeraMax®, a biological seed treatment capable of delivering unmatched protection against soil-borne diseases, including Red Crown Rot in soybeans. This product has been pivotal in maximizing crop genetic potential and facilitating robust early-season development crucial for consistent plant emergence. The Section 2(ee) labeling for CeraMax® extends to multiple states, and growers in these states are encouraged to possess the Section 2(ee) recommendation at the time of application to combat Red Crown Rot.
ADAMA Introduces Forapro®, A New Fungicide for Cereals in Europe
ADAMA Ltd. (SZSE 000553) has launched Forapro®, a broad-spectrum fungicide for cereal crops in Europe. It combines two active ingredients with Asorbital® Formulation Technology and is designed to protect against early-season diseases in wheat and barley. The product offers rapid leaf penetration and extensive plant coverage, maximizing crop health and yield. Forapro® is part of ADAMA's strategic expansion of its cereal fungicide portfolio in Europe, reflecting the company's commitment to agricultural innovation and supporting farmers.
“Our trials have shown Forapro® to penetrate the leaf cuticle significantly faster than a tank mixture of the same active ingredients, which speaks to its efficiency and innovative approach to crop protection,” stated Alex Mills, Global Head of Fungicides at ADAMA.
Partnerships, New Headquarters & Financial Results
Origin Agritech Unveils Robust Financial Growth and Strategic Advances
Origin Agritech Ltd. has made significant progress in biotechnology to revolutionize agricultural practices. In H1, revenue increased by 30-40% to RMB 85-95m, highlighting the success of Origin's innovative agricultural solutions. Two new hybrids have completed national trials expected to receive approval this summer, alongside 15 additional hybrids. Origin Agritech is also making strides in GMOs, with four hybrids undergoing national trials and a request for certification for GMO bt/gt trait biosafety. The company's new NEC hybrid will enhance the region's agricultural output and sustainability. Dr. Gengchen Han expressed enthusiasm for Origin's trajectory, aiming to deliver value-added solutions to farmers and stakeholders worldwide.
Gates Ag One Opens New Headquarters in St. Louis’ Cortex Innovation District
Gates Ag One, also known as Bill & Melinda Gates Agricultural Innovations, opened its headquarters in the Cortex Innovation District in St. Louis, Missouri. This aligns with St. Louis's global presence in science and agricultural innovation. Gates Ag One aims to help smallholder farmers in the regions they serve through collaborative efforts. Cortex is the largest hub of innovation and entrepreneurship in the St. Louis region, and its President & CEO, Sam Fiorello, is thrilled to welcome Gates Ag One to the community.
BASF Agricultural Solution Partners With Solidaridad In Brazil
BASF and Solidaridad are collaborating to enhance sustainable farming practices in Brazil's soybean sector and support small to mid-sized soybean farmers. They have formed innovative partnerships, including GeoApis for bee monitoring and Wheatley Young Partners for evaluating a nature-market model. They emphasize the importance of pollinators and aim to integrate sustainable farming practices with environmental conservation.
Syngenta Reports 2023 Financial Outcomes Amid Agricultural Sector Adjustments
Syngenta Group's annual sales for 2023 declined by 4% to $32.2 billion due to global destocking and high-interest rates, resulting in an 18% drop in EBITDA. However, the last quarter saw a 5% increase in sales and a 15% increase in EBITDA, driven by Crop Protection and China's growth. The biological solutions and seeds segments also grew, with an 11% increase in sales in China. Syngenta Group prioritized enhancing efficiency and productivity despite the challenges, remaining focused on delivering value to customers.
Yield10 Bioscience Announces 2023 Financial Results and Strategic Advances
Yield10 Bioscience reported its financial results for Q4 and full year 2023. The company's strategic shift towards the commercialization of Camelina products, particularly targeting the aquafeed and nutritional markets for omega-3 fatty acids, has yielded regulatory achievements and commercial partnerships. Yield10 has maintained a disciplined approach to cash flow management, reducing cash usage for operating activities while raising funds through a warrant inducement transaction. While Yield10 faced a net loss of $14.5 million in 2023, its commitment to innovation and the development of sustainable and commercially viable agricultural products positions the company as a leader in the field.
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