MILAN, Italy (July 28, 2011)—Pirelli & C. S.p.A. has raised its ownership stake in its Pirelli Tyre Co. Ltd. (China) venture to 90 percent from 75 percent, paying nearly $40 million for the additional 15-percent stake in the Yanzhou, China, venture.
Pirelli said the move was made “with the aim of reinforcing its business in China.”
The Milan-based tire maker did not identify the minority partner, but company records show Pirelli entered a tire manufacturing venture in 2005 with RoadOne Tyre Co. Ltd. The venture also was known previously as Yanzhou Evolution Tyre Co. Ltd.
Pirelli has both consumer and commercial tire capacity at the Yanzhou site. The company also is building capacity in China for motorcycle tires but has yet to disclose the site.