Retail

Yokohama and Kumho jump in bed together

Posted on December 2, 2013

Yokohama Rubber Co. Ltd.  and Kumho Tire Co. Inc. signed a memorandum of understanding on Nov.  29 to start discussions of technology exchanges and a capital alliance premised on cross-shareholdings.

Yokohama says the two companies aim to increase their competitiveness and enhance their future growth potential in the global tire market by sharing R&D resources and making more effective use of them through joint research and development on tires and related technologies.

The two companies also plan to enter into a capital alliance based on cross-shareholdings. Yokohama Rubber and Kumho will start discussions on the details of the alliance (including methods for obtaining each other's shares, the size of shareholdings, and the timing of acquisition) with the aim of signing a legally binding contract as early as possible, according to Yokohama.

Kumho Tire, established in 1960, is headquartered in Gwangju, South Korea. The company is a core member of the Kumho Asiana Group, which also includes Asiana Airlines. Kumho Tire recorded consolidated net sales of 4,070.6 billion ($3.8 billion) won in fiscal 2012. The company has eight tire plants in South Korea, China, and Vietnam and employs about 11,000 people.

Yokohama Rubber, founded in 1917, is engaged in the manufacture and sale of tires and a variety of products in its multiple business operations. In fiscal 2012 (ended Dec. 31, 2012), the company recorded consolidated net sales of 559.7 billion yen ($7 billion), with tires accounting for 444.6 billion yen (nearly $5.6 billion) of the total. Yokohama operates 12 tire plants (not including those currently under construction) in seven countries around the world and employs about 20,000 people globally.

Related Topics: capital alliance, Kumho Tire Co., Yokohama Rubber Co. Ltd.

Comments ( 0 )
More Stories
News

Simple Tire Adds Another Delivery Option for Online Tire Buyers

Simple Tire LLC has added a third delivery option for customers of its online sales platform. They can ship their tires to any of the 1,800 FedEx Office locations in the U.S. But Simple Tire’s real goal is to redirect those customers to one of its installation partners.  

News

Pep Boys Expands in New York and New Jersey

Pep Boys — Manny, Moe & Jack, a wholly-owned subsidiary of Icahn Automotive Group LLC, has acquired an automotive and tire center in New York, and opened a new Pep Boys Service & Tire Center in Bordentown, N.J.  

The tall ceilings of Jeff Hall's Gardiners Road store give it a modern look and feel.
News

The Secret to Success for Midas in Canada: Tires

The owner of the two busiest Midas locations in Canada says offering an extensive tire inventory and more than a dozen tire brands has transformed his business. Consider Jeff Hall’s success a sign of what’s to come at Midas stores across North America.  

News

Six Hankook Tire Dealers Will Host Events for Veterans

Six tire dealers will help Hankook Tire America Corp. continue its partnership with the Disabled American Veterans (DAV) organization. Those dealers will host the group's Mobile Service Offices (MSO) at their stores so the DAV can reach out to veterans in those communities.  

Joe Venezia will lead Bridgestone's retail efforts at its 2,200-plus company-owned stores.
News

Bridgestone Retail Stores Have a New Leader

The 2,200-plus retail stores owned and operated by Bridgestone Americas Inc. have a new leader. Joe Venezia is the president of Bridgestone Retail Operations LLC (BSRO) effective June 19, 2017.  

Be the First to Know

Get the latest news and most popular articles from MTD delivered straight to your inbox. Stay on top of the tire industry and don't miss a thing!