09:47 AM EDT, 07/25/2024 (MT Newswires) -- AGCO ( AGCO ) said Thursday that it has agreed to divest most of its Grain & Protein business to American Industrial Partners in a deal valued at $700 million in cash.

The agricultural equipment maker said the sale, which excludes its Grain & Protein operations in China, aims to streamline AGCO's ( AGCO ) focus on agricultural machinery and technology.

AGCO ( AGCO ) said it plans to use the net proceeds for debt reduction and technology investment, among others, and expects a loss of $450 million to $475 million from the sale.

The deal is slated to be completed by year-end, AGCO ( AGCO ) said.

Shares of the company were up more than 2% in recent Thursday trading.

Price: 100.13, Change: +2.30, Percent Change: +2.35