CLERMONT-FERRAND, France (Sept. 3, 2014) — Group Michelin has completed the acquisition of all outstanding shares of the Brazilian fleet management and freight security company Sascar Tecnologia Automotiva S/A.
The transaction was closed as an all-cash offer to acquire all of the outstanding common shares of Sascar Participações S/A and its affiliated companies. The deal has been approved by the Brazilian competition authority (CADE) and all other closing procedures were finalized on Aug. 29.
Sascar has 870 employees.
Michelin said the acquisition of Sascar, whose “business model has proven its worth in Brazil”—with 33,000 fleets managed and 190,000 trucks—will enable it to expand its offering in the fleet management business and to speed the growth of its truck tire business in Brazil.
The tire maker said it also will provide Sascar access to major customers in South America through Michelin's distribution network.
Michelin will pay $602 million for Sascar, according to a Wall Street Journal report, and take on approximately $110.46 million in debt.