VERONA, Italy (July 9, 2008) — Italian off-the-road tire maker Mai Group has acquired the OTR-related assets of Shandong Jinyu Tyre Co. Ltd. in Shandong Province, China, to support its Asian market development strategy.
The deal gives Mai an operation in Dongying, China, with the capacity to produce 20,000 OTR tires a year, the company said. Mai changed the name of the firm to Mai (Shandong) Radial Tyre Co. Ltd.
The company didn't release financial details of the purchase.
The acquisition will enable Mai Group to accelerate its cross-platform radial strategy for OTR and high-speed crane tire applications, and develop its Asian business, according to Ian Thomas, director of sales and marketing for Mai.
“This state-of-the-art manufacturing plant and its strong technology assets will enable Mai Group to innovate on our existing product platforms while reducing time-to-market and increasing value,” Thomas said.
“This acquisition will also further increase the competitiveness of our Turkish manufacturing plant with synergies across the product range,” the executive said.
Mai will make the Maxam brand at the Dong-
Mai Group's other tire factory, operating in a joint venture called Uzmai International S.R.L., opened in 2004 in Izmit, Turkey. Mai Group was founded in 1953 as a retreader of agricultural tires.
Shandong Jinyu was established in 1995 and markets under the trade names Jinyu, Golden Road and Joykin, according to information posted on the firm's Web site.
Mai didn't disclose the acquisition's anticipated effect on its annual sales.