Titan Machinery Inc. (NASDAQ:TITN) announced today that it has received approval from CNH International SA to form a subsidiary of Titan Machinery Inc., “Titan Machinery Ukraine, Ltd.,” to serve as a CaseIH distributor of agricultural products in the Kiev, Zhitomir, Chernigov, and Vinnitsa regions of Ukraine. The Company expects to open new dealerships in these regions.
David Meyer, Titan Machinery’s Chairman and CEO, said, “We are excited about the opportunity to further our international presence with the formation of a subsidiary in Ukraine. This complements our existing Eastern Europe footprint in Romania and Bulgaria. We have been participating in the Ukraine market through export sales for several years and have developed strong relationships with many of the country’s top producers and believe this expansion of our geographic footprint will generate long-term opportunities for our company.”
Ukraine possesses vast amounts of highly productive farmland, including thirty percent of the world’s richest black soil. The country’s primary crops and products include wheat, barley, corn, sugar beets, sunflower, rapeseed, beef, and milk. In addition, Ukraine has access to the Black Sea, which is critical in facilitating machine and crop logistics, and Ukraine has overland high access crossroads between Europe and Asia.
Peter Christianson, Titan Machinery’s President and Chief Operating Officer, stated, “Expanding our operations in Ukraine has been a long-term goal of Titan Machinery’s, as there is a robust growth opportunity given the country’s prime location and farmland. Farming conditions in Ukraine are similar to those in North Dakota and Iowa, and there is strong demand for both new and used equipment. We look forward to applying our expertise with CaseIH products, parts, and after sales support services in Ukraine.”About Titan Machinery Inc. Titan Machinery Inc., founded in 1980 and headquartered in West Fargo, North Dakota, is a multi-unit business with mature locations and newly-acquired locations. The Company owns and operates a network of full service agricultural and construction equipment stores in the United States and Europe. Upon the closing of the Toner’s Inc. acquisition, the Titan Machinery network will consist of 102 North American dealerships in North Dakota, South Dakota, Iowa, Minnesota, Montana, Nebraska, Wyoming, Wisconsin, and Colorado, including two outlet stores, as well as 12 European dealerships in Romania and Bulgaria. The Titan Machinery dealerships represent one or more of the CNH Brands (NYSE: CNH), a majority-owned subsidiary of Fiat Industrial (Milan: FI.MI), including CaseIH, New Holland Agriculture, Case Construction, New Holland Construction, Kobelco and CNH Capital. Additional information about Titan Machinery Inc. can be found at www.titanmachinery.com. Forward Looking Statements Certain statements found in this press release may constitute forward-looking statements as defined by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on current expectations and include any statement that does not directly relate to a current or historical fact. Such statements are generally identifiable by the terminology used, such as "anticipate," "believe," "intend," "expect," "plan," or other similar words. Our forward-looking statements in this release generally relate to the benefits related to expansion in Ukraine and our national and international growth plans. Although it is not possible to foresee all of the factors that may cause actual results to differ from our forward-looking statements, such factors include, among others, integrating Ukrainian dealerships’ operations with Titan Machinery's existing network, our ability to execute on our national and international growth plans, our ability to implement our business model in non-U.S. markets, our ability to successfully operate under foreign government regulations, the effect of fluctuations in currency exchange rates, changes to tariffs and trade restrictions, changes to political or economic conditions in the markets in which we do business and those risks described from time to time in our reports to the Securities and Exchange Commission. Investors should not consider any list of such factors to be an exhaustive statement of all of the risks, uncertainties or potentially inaccurate assumptions that could cause our current expectations or beliefs to change. Stockholders and other readers should not place undue reliance on "forward-looking statements," as such statements speak only as of the date of this release. We undertake no obligation to update publicly or revise any forward-looking statements.