Stapleton’s Confirms NETE Purchase
Stapleton’s Tyre Services has officially confirmed that on 28 February 2011 it acquired all the shares of North Eastern Tyre & Exhaust Limited (NETE). However, an official statement issued by the company reported that NETE will continue to trade as a wholly-owned subsidiary of Stapleton’s Tyre Services. Stapleton’s representatives said the company intends to complement NETE’s “professional approach to the market and their excellent customer service in order to ensure the future success of both companies.” No further details of the price or the terms have yet been released.
Referring to the acquisition, Stapleton’s chief executive, Kenji Murai, said: “We are a progressive business and this latest acquisition will allow us to realise synergies in several key areas. Our aim is to provide excellent value for money alongside great customer service, across both our B2B and B2C sectors. This philosophy will be at the heart of everything we do.”
NETE was founded in 1970 and has established itself as the largest tyre and exhaust distributor within the northeast, operating 22 retail centres and offering multi-drop delivery services for wholesale and dealership customers from their six warehouses.
Stapleton’s has more than 70 years’ experience as the UK’s leading distributor of passenger car tyres and is a wholesale market leader in the UK, distributing to the specialist tyre retail trade and the car dealership sector. STS also operates 112 retail centres under the STS Tyre Pros, Central Tyre, STS Tyre & Exhaust, Tyre City and RSR Tyre & Wheel brands.
Stapleton’s is part of the Japanese Itochu Corporation, which has an annual turnover of $200 billion. Stapleton’s turned over £300 million in 2010, and is on target to exceed this in 2011. With a network of 10 distribution centres, holding around 1 million tyres, the company offers the full range of budget, mid-range and premium tyres covering the PCR, UHP, van and 4×4 segments.
Itochu recently purchased the UK’s largest tyre retailer, Kwik-Fit, for £637 million. Company representatives later told Tyres & Accessories that the wholesale and retail businesses will be run in parallel.