Indian Manufacturers Race for Falcon Tyres

Indian news sources are reporting that the race for Falcon Tyres is hotting up, with the Hero Group and Metro Tyres entering the fray to acquire the two-wheeler tyre maker. Sources say Apollo Tyres and JK Tyres, who were earlier in the race, have dropped out because of various reasons. The Bangalore-based Falcon Tyres is part of late Manu Chhabria’s Jumbo group. The company markets its tyre under the Dunlop brand.

If successful, Falcon’s acquisition will give the Hero Group an entry into the tyre business, while Metro will leapfrog to number two position in the Indian ‘two-wheeler tyre market,’ from a distant fifth at the moment. Asked to comment, Sunil Kant Munjal, CEO and managing director, Hero Corporate Services, refused to confirm or deny the move. “I just don’t want to discuss whether we are interested in Falcon or not,” said Mr Munjal.