Michelin to buy Tofan tire facilities

PARIS (April 6)—Groupe Michelin has agreed to buy two tire plants, a retread plant and a domestic distribution network in Romania from Tofan Grup, the local enterprise that had taken over the bulk of Romania´s state-controlled tire industry after the collapse of communism there in 1990. Pending completion of the deal—expected in only a few weeks—Michelin will take over passenger car tire operations at the Victoria plant in Floresti, the Silvania truck tire plant in Zalau, a retread plant and 20 warehouses. The deal, terms of which were not disclosed, also taps Michelin into Tofan´s 2,000-outlet Automaxima retail network.