Lindsay Corporation has reached an agreement to acquire Setorial Irrigação, a Brazilian manufacturer of hose reel irrigation systems, expanding its irrigation equipment portfolio and strengthening its presence in Brazil.
The transaction is expected to close in the coming months, subject to customary conditions.
Headquartered in Limeira, São Paulo, Setorial has about 30 years of experience in Brazil’s irrigation market. Its products include hose reel systems, sprinklers, motor pumps and equipment for water conveyance and effluent application. Its customers range from large sugar and ethanol mills to fruit and vegetable producers, cooperatives and family farms.
The acquisition will complement Lindsay’s Zimmatic centre pivot irrigation systems with mobile equipment suited to smaller, irregular or temporary fields. Hose reels can also be used alongside centre pivots to meet different irrigation needs on the same farm.
“Hose reels are a natural complement to our Zimmatic center pivots,” said Randy Wood, president and CEO of Lindsay Corporation. “Setorial brings 30 years of experience, a trusted brand and deep knowledge of Brazilian growers.”
The combination will allow Lindsay to offer a broader range of irrigation options to Brazilian producers, from large agricultural operations to smaller farms, Wood said.
Expanding irrigation options
Setorial’s hose reel systems range from models designed to irrigate areas of about 25 acres to larger units capable of covering nearly 200 acres. The equipment serves several crops and production systems, including sugarcane.
In sugarcane production, hose reels can provide supplemental irrigation and distribute vinasse, a nutrient-rich by-product of ethanol production. Targeted water application and the reuse of vinasse can help growers make more efficient use of water and nutrients.
Lindsay already sells hose reel equipment through its Perrot brand, which manufactures systems for European agriculture. Setorial adds equipment developed and manufactured in Brazil for local crops, soils, terrain and grower requirements.
Lindsay has operated in Brazil since 2002.
Following the acquisition, Setorial will continue operating under its existing name, with its current employees and manufacturing facility in Limeira. Founder and CEO Diomedes Pellegrini Tamani will remain at the helm.
Existing customers and sales representatives will continue to have access to Setorial products, parts, technical support and warranty coverage.
“We built Setorial with a focus on growers and on the reliability of our equipment in the field,” said Pellegrini Tamani. The agreement will provide resources for growth while allowing the company to retain its brand, team and manufacturing operations, he added.
Founded in 1955, Lindsay manufactures irrigation and infrastructure equipment and technology. Its irrigation portfolio includes Zimmatic centre pivot and lateral move systems, FieldNET and FieldWise remote irrigation management technology, and FieldNET Advisor irrigation scheduling technology.