AgJunction Announces Final Settlement in Kubota Patent Litigation
SCOTTSDALE, AZ, October 5, 2020
AgJunction, Inc. (TSX: AJX) and its wholly-owned subsidiary, Novariant, Inc. (together "AgJunction" or the "Company"), today announced a final settlement of the patent infringement lawsuit the Company filed against Kubota Corporation and several of its subsidiaries (“Kubota”) in August of 2019. The lawsuit alleged that Kubota products infringed three AgJunction patents related to automated machine control and implement steering.
With this settlement, AgJunction and Kubota reached a mutually agreeable business resolution that resulted in the dismissal of the lawsuit and all counterclaims. Under the terms of the settlement, AgJunction has granted Kubota a non-exclusive license in the U.S. and Canada to its extensive patent portfolio in exchange for undisclosed royalty payments from Kubota.
The parties also signed a memorandum of understanding to begin discussions about one or more definitive agreements relating to the development and/or supply by AgJunction of autosteer and autonomous solutions for Kubota’s products around the world. Specific terms of the settlement are confidential and have not been disclosed.
“We are very pleased to have been able to settle this matter, allowing AgJunction and Kubota to move forward with serious commercial discussions,” said Bob Barjesteh, Executive Vice President and General Counsel of AgJunction. “Licensing our portfolio to Kubota further validates the strength of our industry-leading patents, allowing us to continue providing unmatched protection to our partners and customers.”
Commenting on the final settlement, AgJunction President and CEO, M. Brett McMickell said, “We are happy about coming to a final settlement with Kubota. We see this as another step in leveraging our IP to expand the reach of our market leading automation solutions and doing so with a company like Kubota fits well with this strategy.”
AgJunction Inc. is a global leader of advanced guidance and autosteering solutions for precision agriculture applications. Its technologies are critical components in over 30 of the world’s leading precision agriculture manufacturers and solution providers and it holds over 200 patents and patents pending. AgJunction markets its solutions under leading brand names including Novariant®, Wheelman®, Whirl™ and Handsfreefarm®. AgJunction is headquartered in Scottsdale, Arizona, and is listed on the Toronto Stock Exchange (TSX) under the symbol “AJX.” For more information, please go to AgJunction.com.
This press release contains forward-looking information and forward-looking statements (collectively, "forward-looking information") within the meaning of applicable securities laws and is based on the expectations, estimates and projections of management of AgJunction as of the date of this news release, unless otherwise stated. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends" and similar expressions are intended to identify forward-looking information. Such forward-looking information is provided for the purpose of providing information about management's current expectations and plans relating to its current and future operations. These statements are only predictions and actual events or results may differ materially. Although the Company’s management believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, performance or achievement since such expectations are inherently subject to significant business, economic, competitive and political uncertainties and contingencies as well as unanticipated force majeure events. Many factors could cause the Company's actual results to differ materially from those expressed or implied in any forward-looking statements made by the Company. In particular, forward-looking statements in this press release include, but are not limited to statements with respect to: the Company’s strategy, plans, objective sales, financial position and focus. Accordingly, readers should not place undue reliance on such forward-looking information contained in this press release.
In respect of the forward-looking information, AgJunction has provided such information in reliance on certain assumptions that it believes are reasonable at this time, including, but not limited to, the sufficiency of budgeted capital expenditures in carrying out planned activities; that AgJunction's future results of operations will be consistent with management expectations in relation thereto; product and market expansion; availability of key supplies, components, services, networks and developments; the impact of competition; conditions in general economic, agricultural autosteering and financial markets; uncertainty around the duration and scope of the COVID-19 pandemic and the impact of the pandemic and actions taken in response on global and regional economies and economic activity; demand for the Company's products; and the continuity of existing business relationships.
Since forward-looking information addresses future events and conditions, such information by its very nature involves inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to the risks associated with the industries in which AgJunction operates; competition; inability to successfully introduce new technology and new products in a timely manner; legal claims for the infringement of intellectual property and other claims; negative conditions in general economic, agricultural and financial markets; and reduced demand for the Company's products. Readers are cautioned that the foregoing list of factors is not exhaustive.
Additional information on other factors that could affect the Company's operations or financial results, are included in reports of AgJunction on file with applicable securities regulatory authorities, including but not limited to, AgJunction's Annual Information Form which may be accessed on its SEDAR profile at www.sedar.com. The forward-looking information contained in this press release is made as of the date hereof and AgJunction undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
Gateway Investor Relations
Cody Slach, Managing Director