SHANGHAI, China — Aeolus Tyre Co. Ltd. has acquired an additional 38% ownership stake in Prometeon Tyre Group S.r.l. (PTG), the former Pirelli & C. S.p.A. commercial tire business.
The deal gives Aeolus, part of China National Tire & Rubber Co (CNRC), 48% direct control over Prometeon. Combined with CNRC's 52% ownership stake, the move technically gives Aeolus full control over Milan-based Prometeon.
Aeolus stated in a June 30 filing with the Shanghai Stock Exchange that it had acquired the 38% share owned by High Grade (HK) Investment Management Ltd. The transaction is being valued at around $285 million.
The remaining 52% is owned by TP Industrial Holding, a company controlled by CNRC and which "entrusted" its stake in PTG to Aeolus Tyre in December 2020. With four tire plants in Brazil, Egypt and Turkey, Milan-based PTG manufactures and commercializes Pirelli-branded truck, bus, farm and OTR tires under license.
PTG is considered the 23rd largest tire maker worldwide with 2020 sales of $1.09 billion, according to Tire Business research. Sales in fiscal 2021 to increased 21.8% to $1.31 billion .
Pirelli & C. S.p.A.'s split into separate consumer and industrial tire companies took another key step this week with the renaming of the industrial tire business unit as "Prometeon Tyre Group S.r.l."
Pirelli disclosed plans in 2017 to spin off the commercial tire business and convert Pirelli into a "pure consumer" tire company.
Prometeon is represented in North America by Prometeon Tyre Group Commercial Solutions L.L.C. in Rome, Ga.