Denman mum on Pensler/CTNA deal

Jan. 30, 2006

A Denman Tire Corp. spokesman refused to comment on parent company Pensler Capital Corp.'s offer to buy Continental Tire North America Inc.'s OTR tire plant in Bryan, Ohio, and how that might affect Denman.

Earlier this month, Pensler signed a letter of intent to acquire the plant, which can produce 300 OTR tires a day at capacity, according to Modern Tire Dealer data.

Before Pensler entered the picture, Titan International Inc. and Dortmund, Germany-based The Rosler Group were working together to buy the factory.

"Negotiations with Rosler and Titan stalled," Rick Holcomb, senior counsel for CTNA, told last week. "We weren't successful in reaching terms with them."

Pensler is trying to negotiate a new contract with the United Steelworkers that will cover the Bryan plant. A new contract must be in place before ownership changes hands.