BRISA, the Turkish joint venture company owned by Bridgestone and the Sabanci Group, has agreed to purchase Bandag’s Turkish operations for $3.6 million.
The company says this move provides BRISA with a “cost-cutting advantage” to the logistics sector and will increase the quality of service it can offer. The acquisition was made by the purchase of 7,508 shares in Bandag Lastik Mamülleri Ticaret Ltd. irketi; the transaction is subject to the usual legal approvals.
Hakan Bayman, general manager of BRISA, said the decision for the acquisition was made in line with Brisa’s mission “to provide superior values to society through sustainable growth.” He added: “We provide our customers with the best quality of products with our brands Bridgestone and Lassa. More than this, we create new products and services that meet the expectations and demands of our consumers. Bandag’s tire retreading services are essential as they prolong the product value of quality tires used in buses and trucks, thus providing economy in total ownership costs.”
The Turkish tiremaker is also set to benefit from further investment from joint venture parent company Haci Omer Sabanci Holding AS. According to Turkey’s Milliyet newspaper, Sabanci Holding plans to invest $110 million in BRISA and tire cord manufacturer Kordsa Global. The newspaper cites the president of Sabanci’s Tire, Tire Reinforcement Materials and Automotive division, Mehmet Pekarun, as saying the division is targeting sales of four billion liras in 2011. Sales this year will total around three billion liras. BRISA may post sales of 960 million liras this year and aims for 1.2 billion liras next year, Pekarun added. (Tyres & Accessories)
