Michelin Romania Considering £109 million Capital Injection

The Romanian Mediafax business publication is reporting that Michelin Romania’s majority shareholder, Michelin Group subsidiary Compagnie Financiere Michelin, is considering injecting 510 million Romanian lei (£109 million; 120 million euros) into the company by cash contribution. According to the report, the shareholders will discuss the issue on 16 October. Michelin Romania currently has a share capital of 439 million lei, which would mean the reported cash injection would more than double share capital.

Michelin has been operating in Romania since 2001, and currently owns three factories, namely Victoria Floresti, which produces tyres for cars and vans, Silvania Zalau, which produces truck and industrial tyres, and RomSteel Cord, which produces metallic cord. Michelin Romania is 99.6 per cent owned by Compagnie Financiere Michelin.