Rosneft 13% Stake in Pirelli Official

The final step in Rosneft quest to purchase 13% stake of Pirelli is complete following approval from the Italian government’s anti-monopoly committee.

Rosneft purchased its stake in the tiremaker through various banks for $670 million and agreed to take on 250 million euros of Pirelli’s debt, The Moscow Times reported.

According to the company’s financial reporting, Pirelli’s total outstanding debt amounted to 2.5 billion euros as of June 30. Rosneft is burdened with almost 1.5 trillion rubles ($44 billion) of debt, according to its first-half report.

Rosneft is Russia’s biggest oil producer. The company signed an agreement to buy stake in Pirelli earlier this year.

In addition to 13% stake in Pirelli, Rosneft also received three seats on the company’s board. Rosneft President Igor Sechin, who was blacklisted by the U.S. Treasury due to tensions in Ukraine, Vice President of Commerce and Logistics Didier Casimiro, and CFO Petr Lazarev will become members of Pirelli’s board.

McCarthy Tire Service recently opened a new in-house commercial wheel refinishing facility. According to the company, the facility has the ability to refinish over 1,000 wheels per day and technicians will utilize equipment for inspection, surface preparation, pre-treatment, and automated coating techniques at the facility.

“We're thrilled to unveil this wheel refinishing facility,” John McCarthy Jr., president of McCarthy Tire Service said. “This investment reflects our dedication to providing our customers with unparalleled efficiency and a one-stop shop for all their commercial tire and wheel needs. By streamlining the refinishing process, we can help fleets minimize downtime and maximize productivity.”