Agriculture equipment maker Agco Corp. agreed Monday to buy GSI Holdings Corp. for $940 million to expand its presence in the grain storage and protein markets.

Duluth, Ga.-based Agco is buying GSI from affiliates of Centerbridge Partners LP.

The deal appears to be a nice windfall for Centerbridge, which bought GSI in 2007 for a reported $500 million.

Assumption, Ill.-based GSI is a manufacturer of grain storage and protein production systems sold worldwide through a network of more than 500 independent dealers. The company has annual sales of about $700 million, according to Agco, and is expected to add to the buyer's earnings and cash flow immediately.

Agco chairman and CEO Martin Richenhagen in a statement called GSI "an excellent fit" that will help his company to expand its reach deeper into the agriculture industry. "With its high-quality products and services, recognized brands and global capabilities, GSI gives us strong positions in the grain storage and protein production segments and is well-positioned to benefit from increases in global grain and food demand," Richenhagen said.

Agco is a $6.9 billion-sales maker of tractors, combines, hay tools and other products sold under the Challenger, Fendt, Massey Ferguson and Valtra names.

The company, which trails only Deere & Co. and CNH Global NV in the world agricultural equipment market, has been an opportunistic acquirer but said earlier this year it expected dealmaking to slow due to a lack of potential targets.

Agco said it has received committed bank financing from Rabobank to finance the transaction and refinance existing credit lines.

Morgan Stanley is financial adviser and Troutman Sanders LLP is legal adviser to Agco.

Goldman, Sachs & Co. and CIBC World Markets Inc. are providing financial advice to GSI, with Simpson Thacher & Bartlett LLP serving as legal counsel.