Four Falcon Board Members Quit

Four Falcon Tyre board members have resigned, only days after the company was bought by the Ruia group. The company informed Bombay Stock Exchange that Vidya Manohar Chhabria, Komal C Wazir, Mohan M Thakur and Deepak Chaudhuri (the former executive director) had all resigned. The resignations took effect on 1 December, it emerged.

The same 2 billion rupee transaction also saw the group purchase Dunlop India and India Tyre. The Ruia Group is now said to be considering the expansion of the company’s truck tyre manufacturing capacities at both its Sahagunj and Ambattur sites, India’s Business Line has reported. According to reports the group chairman, PK Ruia, said that Dunlop had a total capacity of producing close to 75,000 truck tyres a month at both the facilities.

Of the two, Ambattur has the larger capacity of 40,000 tyres a month. This is against a total market size of over 900,000 tyres a month, 70 per cent of which is provided by three players, the Business Line added.

This means Ambattur has the potential to become an original equipment hub for the company due to its proximity to the commercial vehicle manufacturing sector in south India. “Together, Falcon and Ambattur are equipped to cater to almost the entire demand for tyres, except the demand for car tyres in south India,” Business Line quoted Ruia as saying.