Tatneft sells Kama Tyres business

Russian firm PSJC Tatneft has signed an agreement to sell its tyre business, and as such is transferring Kama Tyres to JSC Tatneftekhiminvest-Holding.

In a statement published on the Kama website, the firms explain that Kama Tyres’ cooperation with Tatneft, including the supply of raw materials, will continue on a commercial basis following the sale and take into account previously agreed commitments. The statement adds that the agreement will not alter Kama Tyres’ development plans, with the implementation of “all ongoing investment projects” continuing in accordance with approved deadlines and volumes.

No personnel changes are expected to result from the tyre business’s sale. The companies state that employees’ wages, jobs and social guarantees will be maintained. “All obligations to Kama Tyres employees will be fully fulfilled.”

“The tyre complex is a strategic enterprise for the country’s economy,” says Guzel Khabutdinova, director of Tatneft-Neftekhim Management Company LLC. “The sale agreement is aimed to preserve its competitiveness and will not affect the work of our staff of several thousand people. The Enterprises are operating normally, we continue development, production and sale of tyre products in accordance with previously outlined plans.”