STOCKHOLM, Sweden (April 16, 2004) — Goodyear has agreed to buy the remaining 50-percent stake in Sweden's retail tire group, Dackia A.B., that it doesn't already own.
The purchase, which is taking place through the company's European affiliate—Goodyear Dunlop Tires Europe B.V.—is expected to close by the end of of June.
Goodyear originally purchased its 50-percent stake in Dackia in 1995, with the remaining shares primarily owned by Procuritas Partners K.B. and Dackia management.
Financial terms of the deal were not disclosed.
Dackia operates more than 60 company-owned stores and has 31 contract partners throughout Sweden. The firm is regarded as one of the most successful tire retailers in Europe's Nordic Region posting annual revenues of approximately $65 million, Goodyear said.
Dackia retailers sell a range of tires, including Goodyear, and offer other automotive related services, the tire maker said.
Michael J. Roney, president of Goodyear Dunlop Tires Europe, said the tire maker has been impressed with the performance of Dackia's management team, which has developed a loyal customer base.
“We intend continuing giving support to the current team while at the same time developing new initiatives, which will help the organization´s profitable growth,” he said. “The Dackia acquisition is part of our ambition to increase service levels to all customers in Nordic and an important milestone in our commitment to accelerate growth.”