Varity

Varity was a Canadian multinational manufacturing company established in 1986 from the remnants of Massey Ferguson (MF), which had become insolvent due to corporate losses. Originally based in Toronto, Ontario, Massey Ferguson was one of Canada's leading companies until its financial struggles in the late 20th century. In 1978, Conrad Black acquired control of MF and implemented cost-cutting measures aimed at improving profitability, but these efforts were unsuccessful, leading to significant operating losses and plant closures. By 1980, MF was insolvent, heavily indebted, and unable to recover despite further restructuring attempts. In 1986, with government assistance, Massey Ferguson was restructured into Varity, a new holding company that separated the liabilities, including pension plans, from its operational divisions. Varity initially focused on farm equipment but later expanded into automotive parts through the acquisition of Kelsey-Hayes in 1989. The company moved its headquarters to Buffalo, New York, in 1991, marking its transition away from being a Canadian corporation. Throughout the 1990s, Varity sold off its farm equipment divisions and merged with British-based Lucas Industries to form LucasVarity in 1996. Perkins Engines, a subsidiary of Varity, was sold to Caterpillar in 1998. By 1999, LucasVarity was acquired by TRW for $6.53 billion, leading to the closure of Varity's Buffalo headquarters. TRW later became TRW Automotive and was acquired by ZF Friedrichshafen in 2015. Varity ultimately dissolved by 2000, with its remaining operations absorbed into larger automotive and industrial companies. The transformation of Massey Ferguson into Varity and subsequent restructurings reflect the challenges and ...