Trelleborg buys two tyre manufacturers

Trelleborg announced in November and December 2015, respectively, the signing of agreements to acquire CGS Holding a.s. and Standard Tyres Group.

The acquisition price for CGS Holding, a manufacturer of agricultural, industrial and speciality tyres as well as engineered polymer solutions, amounts to approximately SEK 10.9 billion (~ EUR 1.2 billion) on a cash and debt-free basis. Closing of the transaction is subject to approvals from relevant authorities and is expected to be completed in the first half of 2016. CˇGS employs approximately 6,300 people, is headquartered in the Czech Republic and has 13 production sites of which eleven are located in Central and Eastern Europe, one in the USA and one in Mexico. The group includes the main subsidiaries Mitas, Rubena and Savatech. CˇGS generated sales of approximately SEK 5.6 billion (~EUR 600 million) in the 12 months period ended 30 June 2015.

Standard Tyres Group is one of the leading industrial tyre manufacturers in Brazil and a main supplier to locally based, global OEMs of materials handling vehicles. The company has its head office in Lorena and its manufacturing facility is located in Feira de Santana. Annual sales amounted to approximately SEK 100 million (~EUR 10.7 million) in 2014.