Michelin buys Brazilian two-wheel tyre maker
The Michelin Group has acquired Levorin, a Brazilian manufacturer of bicycle and motorcycle tyres.
Levorin is a family business which was founded in 1943 by Hercules Levorin. It specializes in the production of tyres for the commuter segment in Brazil. In 2015 Levorin had an annual turnover of 135 million euros and employs 2,000 people at its two plants in Sao Paulo and Manaus.
According to the company, the acquisition has two strategic objectives for Michelin: to consolidate its presence in Brazil and strengthen the global development of its two-wheel tyre ranges. More specifically to strengthen its position in the significant, and expanding, commuter segment. For Levorin, this acquisition is expected to “provide the resources to ensure its future growth and sustainability”.
The offer to purchase was signed 30 August 2016 between Levorin and Michelin, and is subject to closing conditions and also subject to the approval of the Brazilian competition authorities.