GPX Sells Rumaguma Factory to CGS
Industrial, OTR and specialty tyre manufacturer GPX International Tire Corporation reports it has reached an agreement with CGS of the Czech Republic for the sale of GPX’s Rumaguma tyre manufacturing facility in Serbia. The transaction is expected to close in the second half of September 2008 pending approval by the Serbian anti-trust authorities.
CGS is one of Europe’s largest agricultural tyre producers and manufactures these products under the Continental and Semperit brand names. Rumaguma has been producing tyres for CGS for many years and is currently the facility’s largest customer. As a result, CGS is well acquainted with the factory and the quality of the product produced at Rumaguma.