By Kim Jung-hwan and Cho Jeehyun
South Korea’s leading tire maker Hankook Tire Co. acquired a full stake in German tire retailer Reifen-Muller to beef up its global sales network, the company said Wednesday.
The company did not disclose its purchasing price, but market analysts estimated the deal to be worth around 100 billion won ($90 million).
Established in 1966, Reifen-Muller runs total 44 outlets across Germany and has 700 employees. It sells more than 2.4 million tires for sedans, trucks, and buses every year.
The Korean leading tire maker that has been seeking to nurture tire retail business as new revenue base hopes its acquisition of Reifen-Muller would further strengthen its global sales network, said a Hankook Tire official. The company plans to leverage Reifen-Muller’s advanced retailing system and shops to build a comprehensive sales network for the entire Europe market.
Last year, Hankook Tire took over Australia’s largest tire retailer JAX TYRES and upgraded its 4,000 retail shops at home and abroad with the Aussie tire seller’s retailing and franchising systems.
Shares of Hankook Tire ended 1.49 percent higher at 41,000 won in Seoul trading on Wednesday.