Pirelli Deal Still Being Considered, Say Reports

(Akron/Tire Review) Strong rumours continue to persist that Pirelli SpA will strike a deal to sell a 39% share in its global tyre operations to a consortium of banks. The deal is reportedly worth 750 million euros.

Pirelli’s board of directors have a previously scheduled meeting today in Milan, during which it is slated to review the corporation’s first half financial statements. Pirelli officials have not denied that the company is considering such a move, and, in fact, issued a statement earlier this month stating that it was considering “some hypotheses for the enhancement of its holding.”

But Italian newspaper La Repubblica – joining Forbes, AFX, Dow Jones and other global news services – reports that the board will also take up the placement issue.

The banks reportedly involved in the consortium include Capitalia SpA, Mediobanca, Banca Intesa SpA, JP Morgan, Lehman Brothers and Banca Leonardo.