Tyre-related business profit at Sumitomo Rubber Industries (SRI) stood at 67.9 billion yen in 2016 and was still a respectable 41.4 billion yen in 2021, but last year dropped to 12.3 billion yen (£76.2 million). It’s therefore no surprise that SRI believes it has been investing too much capital in unprofitable businesses, and the company intends to change this.
Continental is “strategically realigning” its non-tyre ContiTech business to lay the groundwork for its “transition from a traditional product supplier to a provider of integrated solutions.” ContiTech will expand its industrial business while consolidating the automotive business, and will gain a CTO who will “drive the expansion of its materials expertise.” The changes take effect early May 2023.
In response to growth in recent years, Falken Tyre Europe GmbH has added a further tier to its management. As part of this restructuring, Andreas Giese and Mario Pannwitz join Keiichi Miyamoto in the Falken Tyre Europe executive team. Falken will add “additional key positions” to the management tier over the medium term.
German automotive and workshop equipment manufacturer Beissbarth GmbH is to be restructured by the end of this year and has filed an application with the Munich District Court (Amtsgericht München) to open self-administration proceedings.
Nynas has settled payments to trade creditors with claims remaining, after receiving an initial payment of 100,000 Swedish krone each following the completion of Nynas’s company reorganisation in January 2021. According to a statement published by the speciality oil refiner and supplier on 19 January 2021, those actions are “in accordance with the composition agreement between all creditors and as decided by the District Court of Södertörn”.
Continental has initiated a restructure of its management following a meeting of its Supervisory Board on Thursday. Board members Helmut Matschi and Frank Jourdan will leave the company prematurely. Matschi (58) and Jourdan (61) were originally to stay in position until 2024. As of January 1, 2022, the company will retain only five board members. The group will also integrate its activities into three corporate divisions: Automotive, Tires and ContiTech.
Springwater Capital has been confirmed as Italian tyre wholesaler Fintyre’s new shareholder, bringing with it 43 million euros of new capital – a figure that is in-line with reports suggesting Springwater’s involvement back in November 2020. Springwater Capital, founded in 2002 and led by managing partner Martin Gruschka, specializes in the turnaround of European Mid-Caps with a long-term investment horizon.
On 31 March, Pirelli & C. S.p.A. received a notification letter from China National Chemical Corporation Ltd. (ChemChina) stating that ChemChina had received a notice regarding its restructuring and that of Sinochem Group Co., Ltd., (Sinochem Group) from the State-owned Assets Supervision and Administration Commission (SASAC), a commission of the State Council of the People’s Republic of China.
Bridgestone Corporation has shared details of its Mid-Term Business Plan for the three-year period from 2021 to 2023, and this plan entails significant changes for the company’s manufacturing footprint. In a presentation given by chief executive officer Shu Ishibashi, Bridgestone outlines the direction this restructuring will take.
Roughly a year after its German operations collapsed, late in the evening of Friday 12 February, the Italian parent company Fintyre filed a settlement plan with local courts. According to the Italian members of our international publishing group, Pneusnews.it, it is a decisive step for the company from Seriate, in the province of Bergamo.
As part of a range of structural changes taking effect on 1 April, Toyo Tires will draw upon its experiences making tyres for the demanding European market in order to benefit its development programme for other regions. The tyre maker is integrating its Europe/Module Development department, which currently operates under the Technology Development division within its R&D Headquarters, into the R&D Headquarters’ Replacement Tire Development department.
Outlining Bridgestone Corporation’s Mid-Long Term Business Strategy on 22 December, chief executive officer Shu Ishibashi spoke of the company’s plans through to 2023. The immediate priority has been to implement crisis management measures to address the impact of COVID-19; Bridgestone began implementing these in 2020, and the measures extend into this year. Beyond this, Bridgestone will work to rebuild earning power within the core Tire & Rubber business.
Strong words from one of the unions representing workers at the Continental tyre factory in Aachen, Germany. Speaking with Munich-based newspaper Süddeutsche Zeitung, IG BCE trade union chairman Michael Vassiliadis stressed that the planned job cuts “will be expensive”. He also claimed that Continental has turned away potential investors.
Nynas has exited company reorganisation after Swedish courts confirmed the process is now complete following a creditors meeting. The court’s decision is effective 21 December 2020. After this, Nynas will no longer be limited by reorganisation regulations.
Financial analysts have reiterated their “buy” rating on Continental AG shares, while also raising price target from 150 euros from 123 euros previously. In short, Continental AG is expected to continue outperforming consensus estimates. Writing in an investors note dated 18 November, Jefferies equity research said: “Tyre margins will return to an industry leading greater than 15 per cent in full-year 2021. Conti remains among the least liked stocks in the sector which provides positive surprise potential.”
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Bridgestone Corporation
Nynas