Conti to buy into Sime Darby unit
KUALA LUMPUR, Malaysia-Continental A.G. has agreed to buy a 30-percent stake in Sime Darby Berhad's tire actitivities-DMIB Berhad and Sime Tyres International-which are being brought together under a common unit to be known as Merit Manufacturing Sdn. Bhd.
The deal, which includes options for Conti to increase its ownership stake, will strengthen Conti's manufacturing and distribution position in Asia, a Conti spokesman said.
Nokian, Amtel to form tire venture
MOSCOW-Finland's Nokian Tyres P.L.C. and Russia's Amtel Holding plan to form a 50/50 joint venture firm to make and market Nokian and Nordman branded tires in Russia and former Soviet states.
The partners, already linked through an off-take manufacturing agreement signed earlier this year, will invest $110 million through 2007 to upgrade facilities at Amtel's Voronezh, Russia, tire plant, according to their letter of intent. The venture's annual capacity is expected to reach 3 million car, light and heavy truck tires by 2007.
BFS to expand Costa Rican plant
SAN JOSE, Costa Rica-Bridgestone/Firestone will invest $40 million over the next two years to modernize and expand its plant in San Jose to more than double daily capacity to 13,500 units.
The added capacity-8,000 units a day of 13-, 14- and 15-inch passenger tires-primarily will be for export to the U.S., Bridgestone/Firestone said.