Tuesday, 17 November 2015

Apollo Tyres acquires Germany Reifencom

After having failed to acquire the US based Cooper Tire in a $2.5 Billion deal, the country second largest tyre manufacturer by Sales, Apollo Tyres had acquired Reifencom GmBH, one of the largest tyre distributors in Germany for Euro 45.6 Million.
Reifencom GmBH has an online presence in six countries – Germany, France, Italy, Austria, Switzerland, and Denmark. In Addition, it operates 37 stores and service centres across Germany. Acquisition will enable Apollo to improve its mix of distribution channels in Germany and Europe and aid in increasing the visibility of Apollo and Vredestein tyres offline and especially in the fast growing online retail space.

Reifencom has turnover of 147 Million euro in 2014. The acquisition will give Apollo two benefits: increase in number of channels overseas as well as access to retailing multiple brands. Apollo already has 3,500 dealers/partners in Europe which will now get further enhanced due to the acquisition of Reifencom.

The success of Reifencom GmBH is attributed to its highly efficient logistics system, which ensures there is a guarantee of a high degree of availability of all kinds of tyres and rims, even during busy periods like spring and autumn. Reifencom GmBH procures tyres and rims from leading manufacturers thereby ensuring a high level of quality.

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