|AgJunction Signs New Strategic Agreement with Hemisphere GNSS|
HIWATHA, KS, March 20, 2017 /CNW/ - AgJunction, Inc. ( AJX.TO), a leading provider of innovative hardware and software solutions for precision agriculture, is pleased to announce a new strategic agreement with Hemisphere GNSS, Inc., a world-class provider of global navigation satellite systems (GNSS) technology.
For an undisclosed, one-time payment and a new long-term supply agreement, AgJunction has agreed to release Hemisphere from a license restriction that prevented them from selling their GNSS products directly into the global agricultural market. Supply and market restriction agreements previously created between AgJunction and Hemisphere ended in 2016 while the market restriction agreements continued indefinitely.
The agreement is expected to provide customers a more direct relationship with their GNSS supplier, creating better efficiencies for original equipment manufacturers, value-added resellers and growers alike. This agreement is also consistent with AgJunction's desire to provide its steering customers the ability to choose among several possible GNSS options.
Regarding the agreement, Dave Vaughn , CEO of AgJunction said: "AgJunction is pleased with the signing of this agreement as it will insure our customers, who have chosen Hemisphere's GNSS receivers and antenna technology, direct access and an uninterrupted supply. As a leader in the precision steering machine control business, it is incumbent upon us to provide the GNSS solution our customers prefer, and this agreement does just that."
This agreement does not affect AgJunction's exclusive right to sell certain steering and machine control technology covered by the Company's extensive IP portfolio into the agriculture market.
Hemisphere's President & CEO, Farlin Halsey , stated, "Hemisphere is excited to work more directly with our OEM agriculture partners. This new supply agreement will forge a deeper relationship, providing faster response to sales and support requests and increased customer feedback, resulting in stronger innovation and solutions." Halsey added, "We would also like to thank AgJunction, and look forward to both companies' future success."
Specific terms of the transaction were not disclosed.