Former BKT CEO & Equity Firm Buy Alliance Tire

Former Balkrisha Tyres CEO Yogesh Mahansaria and global private equity company Warburg Pincus have jointly acquired Israel’s Alliance Tire Co. for approximately US$150 million. The new owners intend to establish a greenfield facility in India to complement the agricultural and OTR tyre specialist’s existing Israel based production, with the facility in India serving as a site for the low cost sourcing of products.

Joseph Anglister, president of Alliance Tire said “we welcome the new ownership. An investment by a leading international investor such as Warburg Pincus combined with Yogesh Mahansaria’s extensive experience in the off-highway tyre industry will provide an impetus to our long-term objective of growing Alliance’s product library, strengthening our relationship with existing customers and tapping new markets.”

“Alliance is an exceptional company, with a highly respected brand, strong product knowledge, talented employees and significant potential for growth,” added Yogesh Mahansaria. “I am excited to partner with Warburg Pincus, a distinguished firm with a proven track record in supporting entrepreneurs to build successful businesses. Warburg Pincus’ extensive global network and flexibility in providing capital for a leveraged cross-border buy-out as well as for funding growth was instrumental in completing this transaction.”

Based in the Israeli city of Hadera, Alliance Tire has been in business since 1950 and exports its products to more than 65 countries. The company’s OTR product line includes a wide range of radial and diagonal tyres with over 1,000 active SKUs serving the agricultural, forestry, mining and construction industries. Alliance Tire employs 950 people and has an annual turnover of $160 million.