Gurgaon, Haryana, India, May 18, 2009
Apollo Tyres completes acquisition of
Vredestein Banden BV
Premium Netherlands-headquartered tyre manufacturer
With all regulatory approvals in place and consent from the Judge of the Dutch Courts, India-
headquartered Apollo Tyres Ltd has concluded the formal process of acquiring a 100% stake in the
premium European tyre manufacturer Vredestein Banden BV (VBBV), based out of the Netherlands.
The acquisition is being made from the parent company, Russia’s largest tyre manufacturer Amtel-
Vredestein NV (AVNV). AVNV was declared bankrupt on 29 April 2009.
An independent tyre company since 1946, VBBV became a part of Russia’s largest tyre manufacturer
AVNV in April 2005. AVNV’s bankruptcy has not affected the Netherlands-based VBBV, which continues
to remain a viable entity with a ring-fenced financing arrangement and a turnover of approximately
Euro 307 million for CY08.
Vredestein’s manufacturing unit is located in Enschede, 1.5 hours from Amsterdam. Over 70% of the 5.5
million tyres manufactured every year are high performance, high speed passenger car tyres with speed
ratings up to 300 kmph and sold primarily in the European Union. Vredestein enjoys high brand
recognition in Europe for its performance tyres and also manufactures a second brand called Maloya.
The acquisition strengthens Apollo Tyres’ ongoing plans for the European market and provides
Vredestein with opportunities to leverage its proximity to a larger industry player in terms of costs,
people, products and access to markets beyond the European Union. Vredestein has an established
network of sales subsidiaries spanning key countries in the EU and the United States. Over 30% of VBBV’s
products are sold in Germany, with the rest being sold across the EU and other parts of the world,
including the US and the Middle East.
“This is a strategic alliance for us and will bolster Apollo’s