Lion Rubber to Sell Chinese Business

Lion Rubber Industries, a subsidiary of Silverstone Corporation, is proposing to sell its entire 55 per cent stake in Dong Feng Lion Tyre Co Ltd (DFLT) to Dong Feng Tyre Group (DF Tyre) in a deal valued at roughly £31.32 million. The Edge news service has also reported that the company terminated an earlier proposal to sell 10 per cent of DFLT to Beijing Jing Cheng Zhanye Bio-Technology Co Ltd.

The deal will reportedly help DF Tyre settle an inter-company loan and finance its plans to push internationally. Lion Group only recently orchestrated a joint venture agreement with China’s Shandong LuHe Group Co Ltd to make Silverstone-brand tyres in China for the Chinese market.