Sabanci Holding has acquiered Acordis’ Brazialian Diolen polyester industrial yarn and tire cord fabric operations, COBAFI (Companhia Bahiana de Fibras). Based in Cama ç ari, Brazil. The acquisition by Sabanci, which already has successful operations in South America, strengthen’s COBAFI’s position as leading supplier of polyester yarns for tire reinforcement and technical applications in South America.
Goodyear Tire & Rubber Company has appointed Laura Thompson as vice president of business development reporting to Darren Wells, senior vice president of business development and treasurer. The move became effective 1 June 2005.
Bekaert has put in a bid to take over the ECC card clothing division of Carclo, which deals in plastic components and specialist wire products.
ECC has facilities in the UK, France, Italy, Turkey, USA, Canada, China and India, and achieves annual sales of €24 million.
The value of the acquisition is estimated at €13 million. Carclo and Bekaert are expected to reach an agreement in the coming weeks.
The company first invested in this market in 2002 with the acquisition of Sobelcard in Zwevegem, Belgium, which produces half products for card clothing manufacturers.
(Akron/Tire Review) Cooper-Standard Holdings, the parent of Cooper-Standard Automotive, has reported results for its first full quarter as a stand-alone company. The company posted revenues of $470.1 million for the first quarter, which ended on 31 March, compared to a record $497 million for the prior year same quarter.
(Akron/Tire Review) American Tire Distributors Holdings Inc (ATD) has announced operating results for the first quarter ended 2 April. Consolidated net sales increased 17.6 per cent to $354.3 million, versus $301.4 million in the first quarter of fiscal 2004, and gross profit increased 10.9 per cent, ATD reported.
(Akron/Tire Review) Hercules Tires & Rubber Co has officially announced that its senior management has “partnered” with private equity firm FdG Associates to acquire the Findlay, Ohio-based private brander and distributor. Hercules’ 33 dealer shareholders voted to sell their share to FdG
According to its statement, Hercules said the transaction was financed with equity from FdG’s second institutional fund, FdG Capital Partners II LP, and “will provide Hercules with the capital to further expand its Hercules branded private label program, solidify its industry position and capitalize on opportunities for continued growth and acquisitions.” Details of the deal were not disclosed.
Bridgestone UK Ltd has acquired Bulldog Remoulds (Holdings) Ltd, the companies have announced in a joint statement. The deal is said to have been the subject of discussion for “some time.” Both parties agreed that the pricetag attached to the purchase would remain “commercially confidential.”
The purchase took effect on 29 April and will not affect existing trading arrangements with Bulldog customers and suppliers, the companies have confirmed. Bridgestone says the acquisition will strengthen its long-term capability to look after and expand its Truck Fleet customers within the UK.
In the last financial year Vredestein Banden turned over more than 230 millions across its four product groups (passenger car, truck, bicycle, agricultural and industrial products). Although Vredestein does not normally publish official financial statements, the latest figures were released as part of an official statement on the company’s recent acquisition by Amtel. In 2003 the Vredestein Group recorded a turnover of some 305.6 million euros. Of this, about 200 million euros was said to have been generated by the new tyre business. If these figures are correct, 2004 must have been a good year for Vredestein Banden with turnover increasing by around 30 million euros.
Investcorp, investment group, has officially acquired American Tire Distributors, one of the leading distributors of tyres in the United States.
American Tire has 71 distribution centers and a fleet of 700 trucks providing coverage to 36 US states. It offers 60,000 products serving an average of 35,000 customers each month says the investment company. Annual revenue is $1.4 billion giving the company an approximate six per cent share of the total $24.3 billion market for replacement tyres in the US.
Beissbarth Automotive Group (BAG) is up for sale, German sources have reported. A number of bidders are said to be interested in the acquisition, although it is not clear which one is most likely to succeed. BAG is a 100 per cent subsidiary of French Company Facom and itself owns some well-known names including Zippo, Fog and Sicam in addition to Beissbarth GmbH. Former BAG managing director, Jean-Loup Bourjot is said to have made an offer together with another unspecified investor. This is why Mr Bourjot stepped aside from the position of managing director. Consequently Facom CEO, Thierry Paternot, will temporarily lead BAG.
Continental AG’s executive board has announced that it will propose a payment of 0.80 euros per share to the Annual Shareholders meeting. The record dividend represents an increase of 53.8 per cent over the previous year’s payment of 0.52 euros per share. According to Continental, “a considerable improvement in cash flow and a marked reduction in corporate debt allow for the proposed dividend.” At the end of the 2004 the company’s net debt dropped to under 700 million euros, including debt assumed from the company’s acquisition of Phoenix.
“Investors are to share in Continental AG’s business success not only in the form of a much higher stock market value for their company but also in the form of a more than 50 per cent increase in the per-share dividend, raising it to the highest level in the history of the company,” said executive board chairman Manfred Wennemer.
The Austrian Alcar group has taken over Italian wheel manufacturer Consud, Srl. Although the acquisition took place some months ago, the news has only just become public. In total, the new factory and the group’s existing Ambrosetti plant will produce 2.5 million units annually. Hayes Lemmerz is another large source of the group’s steel wheels. Alcar is the European market leader for passenger car steel wheels, sellng 5.6 million units in the last financial year. Of these, 90 per cent were produced by either Hayes Lemmerz or the company itself.
Group Tyre (UK) Ltd has acquired the majority shareholding in fleettyreline Ltd, the only fleet company dealing solely with motor dealerships. The company will continue to operate under its own name, with founders Dean and Liz Williams continuing to play a leading role. The management team is strengthened by new director of sales, Martin Heath, who joins the company from Fit4Fleet. Group Tyre chairman John Church described the acquisition as “a perfect fit,” adding: “Group Tyre can offer a total and all-encompassing range of services to the motor dealer market, including authorised tyre fitting to fleet cars. This market is set to grow, believes Group Tyre, as the duty of care demanded of leasing companies becomes more significant.”
Nokian Tyres has revealed that it will issue a maximum of 1.074 million new shares in a directed share issue to selected investors today. This corresponds to 9.9 per cent of shares outstanding. According to a Deutsche Bank analyst, the move could be an early indication of a possible acquisition. “Nokian only has a track record of acquiring and integrating tyre retail and distribution companies. It has not integrated tyre plants historically,” they add. Despite a large investment programme, the analysts still expect 117 million euros of positive cash flow.
Cooper Tire & Rubber has reported a 5 per cent year-over-year increase in net sales, a fourth quarter record for the company’s tyre operations. At the same time the board of directors authorised the repurchase of up to $200 million of the company’s publicly traded notes. This will be done through open market transactions, a tender offer or a combination of the two. Total net sales for the company’s continuing operations increased to $541 million in the quarter ended 31 December 2004, compared to $515 million in the same period of 2003. Income from continuing operations dipped significantly in the quarter to $3 million (4 cents per share) from $8 million (10 cents per share) in the fourth quarter of 2003.
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