John Deere’s planned acquisition of Precision Planting just hit a major roadblock.
On Wednesday, the U.S. Department of Justice sued Deere over the deal, citing concerns about lack of competition and likely higher costs for U.S. farmers.
In a joint statement, Deere and The Climate Corp. said they expected to fight the government’s decision.
“DOJ’s allegations about the competitive impacts of the transaction are misguided and the companies intend to defend the transaction vigorously against those allegations,” the statement said. “Deere has long been focused on helping American farmers become more efficient and productive so that they can remain globally competitive. The proposed acquisition benefits farmers by accelerating the development and delivery of new precision equipment solutions that help farmers increase yield and productivity.”
This is a developing story. Farm Journal sites will post more details as they become available.