HANOVER, Germany (Aug. 27, 2009) — Continental A.G. has acquired full ownership of Continental Matador Rubber S.r.o. of Slovak Republic, buying the minority shareholder's remaining 34-percent stake in the Puchov-based tire maker for $67 million.
The transaction occurred July 1 after the shareholder, M.I.L. Investments Ltd. of Cyprus, exercised its option to sell its remaining stake at the agreed-upon price.
Conti bought 51-percent control of Matador in November 2007 for roughly $110 million and increased the stake last year to 66 percent for about $29 million, according to Conti documents.
The three share purchases value the transaction at about $206 million.
Continental Matador operates two tire factories in Puchov, Slovak Republic—one for passenger and light truck tires and one for medium truck tires—with 7.7 million units of combined capacity and 2,500 employees. Conti and a then-independent Matador A.S. opened the truck tire plant in 1999 as a joint venture.