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Apollo Tyres closes acquisition of Dutch firm VBBV

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BS Reporter Mumbai
Last Updated : Jan 20 2013 | 8:47 PM IST

The country's largest tyre maker Apollo Tyres, today said the company has concluded acquisition of Dutch company Vredestein Banden B.V. (VBBV) through a special purpose vehicle.

The acquisition will be funded by internal accruals and external loan finance. The acquisition documents have been executed in the Netherlands on completion of all formalities and regulatory approvals, the company said in a filing to the Bombay stock Exchange.

The acquisition is valued about $300 million or Rs1500 crore. In April-end, Apollo's Board had approved the acquisition.

Vredestein Banden B.V. is a premium European passenger car tyres manufacturer and a 100 per cent subsidiary of Russia's largest tyre maker Amtel-Vredestein N.V. or AVNV, which was declared bankrupt a few months ago.

VBBV has a portfolio of high end, high speed rated passenger car tyres, having its manufacturing plant near Amsterdam with a production capacity of 5.5 million tyres per year.
 
The acquisition will provide Apollo's entry into Europe with manufacturing facility and market and distribution network of VBBV as well as access to high end technology.

 

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First Published: May 18 2009 | 1:01 PM IST

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