Pirelli Sold to Chinese..

[R_Redding]

http://www.acquisitionsdaily.com/2015/0 ... f-pirelli/

Recent News ..............................

(Bloomberg) -- Pirelli & C. SpA’s biggest shareholder is holding talks with an “international industrial partner” that will lead to a public takeover offer of the tiremaker if successful.

Cam Finanziaria SpA, which holds 26.2 percent of Pirelli, is seeking to transfer its stake to the unidentified partner for 15 euros per share, the investment company, known as Camfin, said Friday in a statement. The price values Pirelli at about 7.1 billion euros ($7.6 billion).


The outcome.................................

China Chemical Corp (ChemChina) has emerged as the buyer for Pirelli, and the state-owned conglomerate will pay €7.1bn (US$7.7bn) to acquire the high-profile Italian tyre company.


I wonder how /or if this will affect F1

[Youhavebeendunn]

The f1 tires can't be worse than the 2012 tires lol

[radosav]

Why would it affect formula one?

[mikeerfol]

F1 tyres made in China?

[Neno]

Well atleast now when tires start to blowing they can say they are made in China.

[radosav]

Well i know which tyre will use Chinese rover when their astronauts land on Mars !

[FW17]

I guess people are ok with products made in China as long as they are owned by someone else

[lebesset]

although the chinese conglomorate will have a majority shareholding it is on the basis that pirelli will continue to operate independantly under the current management ; same thing has happened with the french companies which were purchased last year
pirelli was a conglomerate but it has been broken up over several years to maximise the return to the shareholders ....the biggest division ...electrical cables .... was sold to a venture capital company a few years back

looks like everyone is suffering the CVC system ; the uk's biggest chocolate company , cadbury's was purchased by Kraft a couple years ago , but they bundled it up with a couple of other companies and sold it on ; the guarantees that they would continue production at the uk factory and people would keep their jobs ? don't even ask ; now it looks as though Kraft will be bought by a venture capital company !

[WaikeCU]

Designed in Italy, Made in China.

[Richard]

I wonder how /or if this will affect F1

Probably very little. The F1 tyres are made in a special unit dedicated to motorsport. Those skills aren't the sort of thing that can be lifted and shifted across the world.

As for the non-F1 picture, Pirelli is already a global firm and already make tyres in China:



It could go two ways, the new owners could stamp the Pirelli brand on their existing production, or they could keep Pirelli relatively intact as a premium product like Tata have done with JLR, or Zhejiang Geely with Volvo.

[SectorOne]

They have three factories producing motorsport tires at the moment.

Romania
Turkey
Brazil

Turkey is the only one producing F1 tires but Brazil and Romania produce GP2 tires.
(The two latter obviously produces for other racing series around the world as well)