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TAFE, a leading tractor manufacturer and exporter, has acquired the Serbian tractor and agriculture equipment brand IMT - Industrija Masina i Traktora.
IMT, the Belgrade-based tractor brand, was one of the largest manufacturers of agricultural machinery in the region before it slipped into bankruptcy and ceased production in 2015. IMT has been bought by TAFE, which is also IMT’s partner for many years, at a public auction.
While Serbian news sites and reports stated that the deal was valued at about ₹4.5 crore, Mallika Srinivasan, Chairman and CEO, TAFE, said she was not in a position to confirm the deal size.
“With the acquisition by TAFE, the production of IMT tractors is expected to recommence in about 12 months’ time. We will support them with the supply of components and aggregates for the rollout of tractors,” she told BusinessLine . Explaining the key rationale, she said IMT was very popular brand and was well-known in many markets. Product designs are very good and their products are well-accepted. “Since we had a long association with them, we understand their product platforms and technology very well.”
“Though the company had some accumulated debt, the acquisition comes with no liabilities. IMT brand comes with certain technologies, which are tailor-made for a lot of markets,” she added.
Through this acquisition, TAFE acquires the right to use the brand and intellectual property rights, including the designs, trademarks and copyright (IPR) of IMT.
TAFE already has a strong presence in the Balkan markets and the IMT acquisition is expected to help further strengthen its presence in that region.
IMT will be the fourth iconic brand after Massey Ferguson, TAFE and Eicher in TAFE’s stable.
IMT offers a wide range of tractors (between 35 HP and 220 HP) suitable for cultivating agricultural land, vineyards and orchards and used for infrastructure applications.
The implements range includes ploughs, trailers, maize planters, seed drills, cultivators and loader forklifts.
Chennai-headquartered TAFE is the second largest tractor brand in India with more than 20 per cent share in the domestic market.
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