RUSSIAN chemicals company Sibur has entered into an agreement to transfer its tyre assets to a joint venture formed between Italian tyre maker Pirelli and Russian Technologies, a Russian state-owned firm.
The joint venture company will take over the industrial operations of Sibur-Russian Tyres by 2014. Come
this November, the partnership will take control of the former Amtel Tire plant in Russia, which has a current
capacity of 7 million car and light truck tyres/year. Further, Sibur-Russian Tyres assets will be moved to the partnership by 2014, bringing its total capacity to 11 million tyres/year. Sibur will receive EUR224 million for the assets from Pirelli and Russian Technologies, divided equally between the two companies.
The deal is in line with an MOU signed in November last year and aims to modernise production and improve the competitiveness of Sibur’s tyre business through the introduction of Pirelli technology. It also aims to establish joint activities in Russia to manufacture steel cord for radial tyres with Sibur to be a long-term supplier of synthetic rubber to Pirelli and its Russian joint ventures.
A second Pirelli/Russian Technologies joint venture will be formed to incorporate Sibur’s tyre business producing automotive and heavy-duty truck tyres. The two partners will each have a 40.1% stake in the company. Pirelli will also receive a 10% share in the Sibur subsidiary in exchange for its technology and management expertise.