Copper Completes Acquisition Of Mexico Joint Venture Tire Factory
Published On 29-Jan-2020 20:17:38
The new plant is rated at 19,000 tires a day with roughly 1,100 employees.
Cooper Tire & Rubber Co. today announced that it has completed the agreement announced on Nov.1, 2019 to increase the ownership in its Mexico joint venture tire manufacturing facility, Corporación de Occidente S. A. de C.V. (COOCSA), from 58 percent to 100 percent.
Cooper raised its stake in Corp. de Occidente to 100% from 58% by buying the 42% stake held by its minority partner, Trabajadores Democraticos de Occidente S.C. de R.L. de C.V. (Tradoc). Financial terms were not disclosed.
Cooper President and CEO Brad Hughes said the deal is "part of our strategic plan to optimize Cooper's global manufacturing footprint with cost-competitive production of quality tires in key geographies. We are excited to continue working with the team in Mexico as we look forward to enhancing the facility's global competitiveness in the tire industry."
Cooper and Tradoc set up the joint venture in El Salto near Guadalajara in 2008.
The venture's plant — originally a Continental A.G. factory that Conti closed in 2001 — is rated at 19,000 tires a day with roughly 1,100 employees. A group of Mexican investors bought the facility from the German company and restarted production in mid-2005 using the Pneustone brand.
Source: Tire Business