In a bid to advance its automated and autonomous solutions for agriculture and construction, CNH Industrial has announced that it has entered into an agreement to purchase Hemisphere GNSS, a high-performance satellite positioning technology company. Hemisphere will continue to operate as a standalone business via operations in the USA, Canada and Australia.
Hemisphere is currently owned by Unistrong, a company incorporated in the People’s Republic of China. Consideration for the acquisition is preliminarily determined at $175 million, free of cash and debt, and subject to customary adjustments.
It will be funded with available cash on hand. Closing is expected to occur within the third quarter of 2023, subject to the satisfactory completion of all required closing conditions, including Unistrong’s shareholders’ approval and all mandatory regulatory approvals, including those required by the applicable laws and regulations of the People’s Republic of China.
Combined with CNH’s Raven Brand’s capabilities, this development gives the company full control of its precision and navigation technologies, a press release from CNH noted.
It added that Hemisphere’s expertise and network will be integrated into CNH’s brand products and services. This combination of technology and product will provide customers with a better user experience in the field and on the job site.
Hemisphere’s proprietary Global Navigation Satellite System (GNSS) solutions provide pinpoint accuracy for the agriculture, construction, mining and marine industries. In addition, the company designs Electronic Systems and Software solutions.
The core technology capabilities include application-specific integrated circuit chips, circuit boards, radio frequency signal processing, navigation algorithms and satellite-based correction designs.
Marc Kermisch, Chief Digital & Information Officer, CNH Industrial, noted that having Hemisphere’s technology in-house will enable the company to accelerate a broad range of precision technology programmes, providing customers with immediate productivity-enhancing solutions.
'It will also increase the long-term competitiveness and flexibility of our agriculture and construction portfolio,' he added.
Farlin Halsey, President and CEO, Hemisphere GNSS, stated, “This enables us to further enhance our technology and product development in core GNSS, agriculture, construction, marine and machine control markets, and to directly integrate our technology with CNH Industrial’s world class equipment.”
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