Paper: Apollo Tyres to Pay $300 million for Vredestein
The report, which is based on a interview with Neeraj Kanwar, vice chairman and joint managing director at Apollo, said the deal is expected to be closed in the next two weeks. “We are looking at closing the deal by the middle of this month,” the paper quoted Apollo Tyres’ Neeraj Kanwar as saying.
The $300 million price-tag is roughly equivalent to the $266 million investment the company had earmarked for a plant in Hungary and almost the same as the $260 million previous owner Amtel reportedly paid for the company in 2005. Vredetein Banden reportedly has the capacity to make 5 million tyres per annum. According to the newspaper this would more than double Apollo’s current passenger car radial tyre capacity.