Valmont® Industries, Inc. announced July 7 it has entered into a definitive agreement to acquire HR Products, a wholesale supplier of irrigation parts in Australia.
“Aftermarket parts and services are a critical component of our global agriculture growth strategy, as it allows us to better serve our customers through extended offerings and expands our total addressable market,” said Joshua Dixon, president of Global Irrigation. “Due to the long life cycle of irrigation equipment, there is a substantial market to replace wearable parts."
HR Products provides a broad range of irrigation products to serve the agriculture and landscaping industries. The company was established in Perth, Western Australia in 1979, and has grown to nearly 100 employees and six warehouse facilities, with an extensive dealer network across the country.
The transaction will be funded with cash on hand and is expected to be immediately accretive to earnings, with Year 1 revenue of approximately US $45 million. The transaction is expected to close in the third quarter of 2023 and is subject to customary closing conditions. No further financial details were disclosed.