Trelleborg, through its Trelleborg Wheel Systems business area, has signed an agreement for the acquisition of the UK’s Watts Tyre Group, Lydney, United Kingdom.
Watts is for a global provider of industrial tires. Trelleborg notes this acquisition strengthens its position in the industrial tire market through geographic expansion and an increased presence in the aftermarket.
“The acquisition is a further step in our strategy to continuously strengthen our positions in selected segments,” said Maurizio Vischi, business Trelleborg area president. “The acquisition improves our positions and generates opportunities for future growth. This also creates favorable possibilities for synergies, primarily through increased use of our efficient and modernized plant in Sri Lanka.”
The purchase consideration amounts to approximately 21 million GBP (USD $33 million). The unit is estimated to generate a total annual positive earnings effect of approximately 4.15 GBP (USD $6.5 million).
“With the acquisition of Watts Tyre Group, we are taking our industrial tire operation to a new level,” said Vischi. “We will become stronger in the aftermarket and will, for example, have access to an advanced service concept that is marketed under the name Interfit. The operation has sales to 60 countries and is a leader in many growth markets. The acquisition creates good conditions for expansion into growth markets in Asia.”
Lift & Access is part of the Catalyst Communications Network publication family.
