Goodyear To Acquire Cooper Tire For 2.5 Billion Dollars

Published On 23-Feb-2021 21:49:27By TyreDekho Team

Cooper is the 5th-largest tire manufacturer in North America by revenue with approximately 10,000 employees working in 15 countries worldwide.

Goodyear To Acquire Cooper Tyre For 2.5 Billion Dollars

Goodyear Tire & Rubber Company and Cooper Tire & Rubber Company today announced that they have entered a definitive transaction agreement under which Goodyear will acquire Cooper in a transaction with a total enterprise value of approximately $2.5 billion.

The transaction will expand Goodyear’s product offering by combining two portfolios of complementary brands. It will also create a stronger U.S.-based manufacturer with increased presence in distribution and retail channels while combining both companies’ strengths in the highly profitable light truck and SUV product segments. The combined company will have approximately $17.5 billion in pro forma 2019 sales.

Under the terms of the transaction, which has been approved by the Boards of Directors of both companies, Cooper shareholders will receive $41.75 per share in cash and a fixed exchange ratio of 0.907 shares of Goodyear common stock per Cooper share for a total equity value of approximately $2.8 billion.

Based on Goodyear’s closing stock price on February 19, 2021, the last trading day prior to the announcement, the implied cash and stock consideration to be received by Cooper shareholders is $54.36 per share, representing a premium of 24% to Cooper’s closing stock price on February 19, 2021, and a premium of 36% to Cooper’s 30-day volume weighted average price as of the close on February 19, 2021. Upon closing of the transaction, Goodyear shareholders will own approximately 84% of the combined company, and Cooper shareholders will own approximately 16%.

Founded in 1914, Cooper is the 5th-largest tire manufacturer in North America by revenue with approximately 10,000 employees working in 15 countries worldwide. Cooper products are manufactured in 10 facilities around the globe, including wholly-owned and joint venture plants. The company’s portfolio of brands includes Cooper, Mastercraft, Roadmaster and Mickey Thompson.

This is an exciting and transformational day for our companies,” said Richard J. Kramer, Goodyear chairman, chief executive officer and president. “The addition of Cooper’s complementary tire product portfolio and highly capable manufacturing assets, coupled with Goodyear’s technology and industry leading distribution, provides the combined company with opportunities for improved cost efficiency and a broader offering for both companies’ retailer networks. We are confident this combination will enable us to provide enhanced service for our customers and consumers while delivering value for shareholders.”

Kramer added, “We have a great deal of respect for Cooper’s team and share a commitment to integrity, quality, agility and teamwork. We look forward to welcoming Cooper to the Goodyear family.”

Brad Hughes, Cooper president & chief executive officer, added, “Cooper has transformed into a dynamic, consumer-driven organization that has balanced traditional and emerging channels to increase demand for our products, while updating and effectively leveraging our global manufacturing footprint. I am extremely proud of what our team has accomplished over the past 107 years and am grateful to our talented employees for their contributions and commitment.”

Looking for new tyres? Find dealers

“This transaction marks the start of a new chapter for Cooper, which we are entering from a position of strength. We believe that it represents an attractive opportunity to maximize value for our shareholders, who will receive a meaningful premium as well as the opportunity to participate in the upside of the combined company. We look forward to the opportunity to combine Cooper’s considerable talents with Goodyear’s, and to be part of a bigger, stronger organization that will be competitively well-positioned to win in the global tire industry.”

You Might Also Be Interested In

Latest Tyres

  • Car
  • Bike
  • Truck
  • ZVTV A4
    ZVTV A4
    165/80 R14 85Ttubeless
    Rs3,250
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • CZAR A/T
    CZAR A/T
    255/65 R18 111HNA
    Rs11,390
    • iconDry Grip
    • iconWet Grip
    • iconHandling
    View Diwali Offers
  • Apterra Cross
    Apterra Cross
    205/65 R16tubeless
    Rs6,100
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • AT 20 Grand Trek
    AT 20 Grand Trek
    265/65 R17 110Stubeless
    Rs14,699
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • FR500
    FR500
    185/65 R14 86Htubeless
    Rs3,491
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • UM 551
    UM 551
    165/80 R14 85Ttubeless
    Rs3,505
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Smart UX Royal
    Smart UX Royal
    215/60 R17tubeless
    Rs8,055
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • CINTURATO P1
    CINTURATO P1
    245/40 R17 91Wtubeless
    Rs14,577
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Smart Blaze RYDR BR43
    Smart Blaze RYDR BR43
    140/70-17tubeless
    Rs4,200
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Conta 725
    Conta 725
    90/90 R12tubeless
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Gripp XL
    Gripp XL
    90/90 R19tubeless
    Rs1,750
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • M6303
    M6303
    90/90 R12 54Jtubeless
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • BT SPORTMAXX
    BT SPORTMAXX
    140/70 R17tubeless
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Feelfree
    Feelfree
    120/70 R15 56H M/Ctubeless
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Conti Aqua Gripp
    Conti Aqua Gripp
    3.00-18 6PRtube
    Rs1,560
    • iconDry Grip
    • iconWet Grip
    View Diwali Offers
  • Zapper S
    Zapper S
    140/70-14tubeless
    Rs2,625
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Load Power NW
    Load Power NW
    10.00R20NA
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • X INCITY XZUE3+
    X INCITY XZUE3+
    295/80 R22.5na
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • ENDUTMRACE RD
    ENDUTMRACE RD
    315/70 R22.5na
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • JET XTRA
    JET XTRA
    8.25-16na
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • STEEL MUSCLE-S3P4
    STEEL MUSCLE-S3P4
    10.00 R20tube
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Mile XL X3 R
    Mile XL X3 R
    295/95 D20na
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • TG 01
    TG 01
    10 R 20tube
    Rs43,000
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • AGB 21
    AGB 21
    295/80 R 22.5tubeless
    Rs36,000
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers

Best Tyres

  • Car
  • Bike
  • Truck
  • SecuraDrive
    SecuraDrive
    205/60 R16tubeless
    Rs6,475
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • ZLX
    ZLX
    155/80 R13 79Ttubeless
    Rs2,850
    • iconWet Grip
    • iconDry Grip
    View Diwali Offers
  • Milaze
    Milaze
    185 R14tubeless
    Rs3,552
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Vectra
    Vectra
    155/70 R14 77Ttubeless
    Rs2,649
    • iconWet Grip
    • iconDry Grip
    • iconHandling
    • iconLow noise
    View Diwali Offers
  • Fuel Smarrt
    Fuel Smarrt
    165/80 R14 85Ttubeless
    Rs3,505
    • iconFuel efficient
    • iconDry Grip
    View Diwali Offers
  • Taximax
    Taximax
    185/70 R14 88Ttubeless
    Rs3,940
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • ZVTV
    ZVTV
    185/65 R15 88Stubeless
    Rs4,750
    • iconWet Grip
    • iconDry Grip
    View Diwali Offers
  • Alnac
    Alnac
    195/70 R14 91Htubeless
    Price Coming Soon
    • iconWet Grip
    • iconDry Grip
    • iconHandling
    • iconLow noise
    View Diwali Offers
  • MILAZE
    MILAZE
    2.50/R16 41Ltube
    Rs875
    • iconLow noise
    • iconDry Grip
    • iconWet Grip
    View Diwali Offers
  • SECURA ZOOM F
    SECURA ZOOM F
    90/90 R17 49Ptubeless
    Rs1,610
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • GRIPP
    GRIPP
    100/90 R18 56Ptube
    Rs2,040
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Nylogrip Plus
    Nylogrip Plus
    2.75/18tube
    Rs1,350
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • PILOT SPORTY
    PILOT SPORTY
    100/90 R17 55Ptube
    Rs2,500
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Zoom XL F
    Zoom XL F
    110/70 R17 54Htubeless
    Rs1,775
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • MoGrip Meteor M
    MoGrip Meteor M
    120/90-17 64Htube
    Rs3,500
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Nylogrip Ezeeride
    Nylogrip Ezeeride
    80/100-18tubeless
    Rs1,570
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • WINMILE D
    WINMILE D
    11.00 R20na
    Rs15,000
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • FM Super
    FM Super
    10.00-20/16na
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • MUSCLEROK
    MUSCLEROK
    10.00-20tube
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • HCL Super
    HCL Super
    12.00-20/18na
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Lug Plus
    Lug Plus
    10.00-20/16na
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Mile XL Rib Pro
    Mile XL Rib Pro
    8.25-20/16Pna
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • THE LUG-PLUS
    THE LUG-PLUS
    10.00-20tube
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
  • Lug XL Pro
    Lug XL Pro
    8.25-20/16na
    Price Coming Soon
    • iconFuel Efficient
    • iconWet Grip
    View Diwali Offers
×
Which is your city ?