Magna Tyres to acquire Fennell Tyres International
According to executives, the acquisition is part of Magna Tyres’ goal is to increase sales to 600 million euros within five years (Photo: Magna Tyres)
Magna Tyres Group is acquiring Australian-based Fennell Tyres International. Fennell Tyres International is known for its competitively priced, quality OTR, mining and TBR tyre solutions. Financial details have not been disclosed. According to the company, “Magna Tyres recognizes the demand for high quality off the road tyres in Australia and the value of a long-term relationship with customers”. The firm’s goal is to strengthen its position worldwide.
Michael de Ruijter, CEO-President of Magna Tyres Group, said in a statement, “we were attracted to Fennell Tyres International by the common vision on expanding both companies and product portfolio. Our goal is to increase sales to 600 million euros within five years and strengthen our position as the largest second-tier supplier of Off-The-Road tyres and service provider in the world.’’
“The acquisition shows that Magna Tyres is on the right track to achieve this goal and that there will be more acquisitions in the near future. This addition to the worldwide footprint of Magna Tyres gives the global turnover a boost. The net sales of Fennell Tyres International is approximately AUS$20 million plus.’’
“We are excited that the combined company will collaborate on improving tools and technologies, both companies are confident this combination will enable us to provide better service for our current and potentional customers. We listen to our customers and always try to support them with the best tyre solutions. Our goal is to establish a long-term partnership rather than a short-term success.’’
“The relationship between Magna Tyres and Fennell Tyres International has been evolving for many years now and it was only natural that the synergies that both companies share has brought us together “, said Aldo Gismondi, managing director of Fennell Tyres international.’’
Formed in 2005 including current directors Aldo Gismondi and Bruce Walker, Fennell Tyres International provides on-site earthmover and Truck tyre services for mining, transport and civil contracting operations and equipment. All the employees will join Magna Tyres Group upon completion of the transaction.
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