ERJ staff report (TB)
Quincy, Illinois -- Titan International Inc. has completed its purchase of majority control of Planet Corp. Group, a Perth, Australia-based OTR tyre and wheel distribution and service specialist that generated more than $75 million in sales over the past 12 months.
Titan paid $22.9 million for a 56-percent share of the company and $10.5 million more to pay off outstanding credit facilities. Planet Group generated about $10 million in pre-tax operating income in fiscal 2011, Tian said.
Planet Corp. comprises National Tyres, Acme Wheel & Rim Co., Resource Tyre Co. and Choice Tyres Wholesalers, Titan said.
Titan earlier said it wanted to acquire Planet Corp. in line with its initiative to grow its OTR tyre and wheel business globally. Planet Corp. will be a subsidiary of Titan Mining Services, which the Quincy-based company formed recently to build its mining business around the globe.
Titan said it will maintain a supply relationship with Laizhou City, China-based OTR tyre maker Shandong Superhawk International Rubber Industry Co. Ltd., with which Planet Corp.'s Resource Tyre Co. unit is affiliated. It did not elaborateon its plans in this area.
From Tire Business (A Crain publication)
Press release from Titan