Chinese corporation ChemChina will buy 26.2% stake in the Italian manufacturer Pirelli rubber for $7.7 billion
Almaty. March 27. Silkroadnews - "Subsidiary of Chinese state-owned corporation ChemChina - China National Tire & Rubber (CNRC) and the Italian holding company Camfin SpA, reached an agreement under which ChemChina will buy 26.2% stake in Pirelli from their current owners for about 15 euros per share. The total transaction volume reached 7.7 billion dollars", - said the newspaper "People's Daily".
It is noted that ChemChina will have maximum 65% of the shares of the Italian company, 35% will be at the disposal of major shareholder "Rosneft" holdng and the chairman of the board and chief executive officer Tronchetti Provera. After completion of the transaction T.Provera will stay as a Chief Executive Officer, but the new chairman will be appointed by Chinese corporation.
In the past few years, ChemChina has undertaken a number of mergers and acquisitions. It's company CNRC is China's largest tire manufacturer. In November 2014 ChemChina acquired the Norwegian company in the field of solar energy REC for $640 million.
CNRC - leading Chinese manufacturer of radial and off-road tires.