Bekaert completes acquisition of Pirelli tire cord plant in China
Summary:
Bekaert and Pirelli have successfully closed the acquisition by Bekaert of the Pirelli steel cord plant in Yanzhou, Shandong Province, China.
The deal closing in China follows the recent ownership transfers of other steel cord plants in Figline (Italy), Slatina (Romania), Sumaré (Brazil) and Izmit (Turkey).
The integration of these steel cord activities and the long-term supply agreement with Pirelli further enhance Bekaert's status as a preferred supplier to the tire industry.
Deal closing China
Bekaert holds 80% of the shares of Bekaert (JiNing) Steel Cord Co, Ltd. Hixih Rubber Industrial Group Co Ltd, who was Pirelli's partner in the Yanzhou entity, retains the remaining 20%. The integration process into the Bekaert Group will start immediately and the entity's financial results will be included in the consolidated statements of Bekaert as from 1 March 2015.