Apollo Tyres India-Have Apollo Tyres “Bitten off More Than They can Chew ?”Cooper Tyre deal now Over

Apollo Tyres India

Cooper/Avon tyres bought by Apollo Tyres India

As we all probably know by now. Apollo tyres India have made yet another acquisition. Buying Cooper tyres from America, who also own Avon tyres here in Great Britain.

Some City people though are concerned. Thus, about the higher debt burden. As a result, of when the price of raw materials is increasing. So unfavorable  to the tyre industry on the whole. Using  borrowed money for their expansion plans..

Apollo Tyres India

Cooper tyres missed by Apollo Tyres India

This take over by Apollo Tyres India. Therefore,  will fit into their plans to expand into the North American market. Hence, the European tyre market has been complimented. Because of the acquisition of the Dutch company Vredestein tyres. Specialising in producing a large range of winter. Of course, tyres for all vehicle types. In fact a good friend of mine from Alcar tyres in Huddersfield is a Vredestein dealer and to this point has not noticed any difference in trading, since the take over by Apollo Vredestein. It would be interesting to hear from any LinkedIn members to the contrary.

Another Cooper owned subsidiary here in the UK are Avon tyres, who are long standing players in the British tyre market, originally specialising in the motor cycle tyre market, but now covering all vehicles for their summer and winter car tyre market.

Apollo Tyres India

Indeed they are now one of the suppliers to the up and coming tyre retailer group known as Point-S, a large group of tyre retailers in other European countries and now expanding in the UK. As a foot note and an update as we all know the Apollo Tyres India/Cooper acquisition fell through and the take over was aborted. Apollo Tyres India are now strengthening their position in the British market, through Vredestein and are adding their product to the excellent Vredestein Wintrac Xtreme tyres portfolio, which is their main strength in the European tyre market.

  The only problem that I can foresee in the future is that Apollo may close down some of the smaller subsidiaries such as Avon tyres, but to be honest I thought the same about Vredestein tyres and I have been proved wrong, although more and more Apollo tyres are being marketed along side of Vredestein as part of the same company and Avon may not be needed in the long run, who knows ?.

Apollo Tyres India- now have a foot hold in China

Another good move by Apollo Tyres India now gives the Indian tyre giants a foot hold in China. This is because of the Chinese factories producing tyres, that were owned by Cooper tyres, producing tyres for both Cooper and Avon, along with their British factory, here in the UK.

In my opinion this takeover by Apollo tyres is a brilliant move  and you can read about the financial implications

Another good move by Apollo Tyres India now gives the Indian tyre giants a foot hold in China. This is because of the Chinese factories producing tyres, that were owned by Cooper tyres,

Another good move by Apollo Tyres India now gives the Indian tyre giants a foot hold in China. This is because of the Chinese factories producing tyres, that were owned by Cooper tyres, are now one one the main sponsors of Manchester United, since the Cooper take over fell through

of the buyout in the following article…

“After the Cooper Tire acquisition, concerns on Apollo Tyres India biting off more than it can chew have seen the stock nosedive 30 per cent in two days. At Rs 64, the stock now trades at a valuation of about 5.3 times its trailing 12-month consolidated earnings and about 3.5 times the likely consolidated per share earnings for FY14. Although valuations may be attractive, time may not be ripe yet for fresh exposures to the stock. The management expects the acquisition to contribute to earnings immediately. However, the huge debt burden taken on for funding the acquisition does pose a challenge”... http://www.thehindubusinessline.com/money-wise/stock-insight/apollo-tyres-tread-with-care/article4817714.ece .

Article compiled by Eric Roberts

Pellon Tyre and Auto-centre offer car and van servicing and repairs to all makes of vehicles. We are members of Unipart Car Care centres and give a nationwide guarantee for all our work and parts.

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Fiat 500 tyres-A look at this Iconic Little Italian Car the Fiat 500.

Fiat 500 tyres

I spotted this little Fiat 500 on a recent visit to Rome. it is an old car but i am not sure of the age?

Fiat 500 tyres-A look at this Iconic Little Italian Car

I was lucky enough to be able to take a few days off last week and we (my wife Michelle) decided to take a short break to Rome. I regard myself as a well-travelled person. Visiting places with various tyre companies, helped with that.

Rome was one of the places I had previously missed out on. I was determined to go there on a short break. Off we went from Leeds airport here in Yorkshire UK. When we arrived the weather was hot and sunny. The first thing I noticed when we stepped out of the airport. Was the large amount of Fiat 500 cars on the Italian roads.

This (along with the old style mini) has always been one of my favourite cars. As my readers know, I was fortunate to work in the tyre industry in the early days, when cars from all over the world were being imported into the UK. These cars all came with unusual tyre sizes. I can always remember one of these little cars pulling into the tyre shop where I worked. The Fiat 500 tyres on this little red car were 135×12 and they were made by Pirelli tyres. Pirelli tyres were seldom seen in those days, except on Italian cars such as the odd Alfa Romeo and a few Fiat 500’s.

The Pirelli 135×12 tyres were textile radial tyres and known as the CN54. These were later fitted to British MGB

fiat 500 tyres

Pirelli 135×12 CN54 tyre fitted to this vintage Fiat 500.

sports cars, but were later replaced with steel belted radial tyres.

Fiat 500 tyres

The Fiat 500’s were first brought to the market as an economical way of transport and were fitted without any kind of luxuries. The engine size was a 470cc giving the little car 13 BHP (brake horse power). It could do a top speed of about 53 MPH. The little cars were not very popular and in 1957 a new version was introduced with wind up windows, better seating and indicators which worked from the steering column.

The Fiat 500 tyres did not change very much over the next few years, but Fiat gave the little car many more upgrades, with the main improvement being the engine size. This was in the early sixties and seventies. I certainly remember the Fiat 500 tyres that were fitted later went up to 13 inch wheels with a tyre size of 135×13.

Fiat 500 tyres like most other cars have evolved with the power upgrades of the car. Modern Fiat 500 tyres are on alloy wheels fitted with 15 inch wider tyres. In fact we have a Fiat 500 courtesy car and it is fitted with 185R65x15 Apollo tyres. Fiat 500 tyres fitted now are a far cry from the 135×12 tyres from years ago.

AN excellent history of the Fiat 500 can be found on… http://classicfiat500.co.uk/fiat-500-history-2/

Eric Roberts

Apollo Tyres at Manchester United Partner Launch at Old Trafford the home of Manchester United

 

Apollo Tyres with a six figure three-year deal with Manchester United

I have just arrived back from the three venue launch of a three-year deal with the iconic Manchester United. The venues were in Edinburgh, London and the final one took place at the Old

apollo tyres

The impressive Apollo tyres coach

Trafford home of Manchester United.

Apollo tyres are embarking on a three-year deal with Manchester United. To help launch the  brand here in the UK. The tyre company was first to make its tyres in Perambra, Kerala In India in 1976. They have since become the leading tyre maker in the national Capitol Region of India. Apollo was soon to be recognised for their excellent tyre products. For twenty years they kept them within the Indian economy.   Building their distinctive brand products and using good marketing initiatives to promote their products. Some of the things that Apollo did were to promote a customer loyalty scheme and help establish better-driving habits on the overcrowded Indian roads.

Apollo tyres then made the decision to expand outside of India and in 2006. They ventured into South Africa, by buying the Dunlop  International of South Africa, including the Regal tyres brand. This also included Zimbabwe and the Dunlop brand is now sold to over 30 African countries, using the renamed Apollo tyres Of South Africa brand name.

Apollo Tyres UK  then spread their wings into Europe, acquiring Dutch tyre company Vredestein tyres, now known as Apollo Vredestein who also have strong links and a dealer network here in the UK. This was in 2009

Premiership trophy on display

and it was the plans of Apollo to set up a presence on yet another continent, Europe. The tyre company also went into partnership with a car battery manufacturer in Bangladesh in 2011.

The next step for Apollo tyres

Was to enter the North American marketplace, but after a huge setback failed to take over Cooper tyres and eventually pulled out of the deal.

Back here in the UK, Apollo has started to become a much larger player in the battle for tyre market share. Using the iconic Manchester United brand to become their launching pad for a market attack. I was invited as an independent tyre retailer, probably because of my past association with the Vredestein tyre brand, who are renowned for their excellent quality, especially their winter tyres collection.

We were to be on the third and final phase of the Apollo tyres promotional tour. With a tour of the Manchester United ground and museum. The tour was Apollo Tyresexcellent and conducted by professional tour guides who gave some insight into the clubs history and background. This was most interesting because not everybody were football fans and the ones that were football fans supported other clubs. After the tour, we were all invited for an evening meal on the ground and were able to take pictures of the Premier League trophy, which the club kindly displayed in the dining room. After an excellent meal, we were treated to a question and answer session from ex-Manchester United player “Lou” Macari all transported back to the Hilton Hotel in Manchester.There we were all given overnight accommodation and then treat for evening drinks in the hotel rooftop bar, we all had an excellent time.Eric Roberts

Hi, I would like to introduce myself. I have worked in the Garage and tyre and Battery business now for 40 years. I have worked for a couple of national tyre companies in my younger days, before starting my first business. I now own a company here in the UK called Pellon Tyre and Auto-centre, and I am a keen blogger about anything to do with cars and their related products that will help my business. We are members of Point-S and Motor-Codes and are also a Unipart Car Care Centre and, of course, Tyre-safe.