Goodyear Announces $703Mil Sale of Dunlop to Sumitomo Rubber
In a USD 701 million deal, tyre manufacturer Goodyear has announced it will be selling its Dunlop brand to Sumitomo Rubber Industries (SRI). This is in accordance with Goodyear’s business plan to streamline their business.
The deal includes trademarks, copyrights and assets of the Dunlop brand for Europe, North America and Oceania for commercial, special and consumer tyres, according to the official statement.
Under their agreement, Goodyear can still manufacture, distribute and sell their tyres in Europe until the end December this year. They will also pay royalties to SRI during this period, but sales and profits will still remain theirs.
Goodyear will also be supplying certain Dunlop-branded tyres to Europe for 5 years with stipulated minimum purchase quantities.
SRI will also have the rights to terminate the terms of agreement early with a one-year notice and termination fee.
Additionally, Goodyear will license back the Dunlop trademark for truck tyres in Europe to retain their access to the Dunlop trademark for their motorcycle tyre business in Europe and Oceania. As per usual, they will pay royalties to SRI for the trademark.
“Our team conducted a comprehensive process focused on maximising value for Goodyear through a divestment of our Dunlop Brand, and we are very pleased with the outcome achieved,” stated Goodyear’s executive vice-president and CFO Christina Zamarro.
“We are committed to working closely with SRI to ensure a smooth transition for customers of the Dunlop Brand.”
If you’re looking to buy a car, sell your car, or even trade in a used car, Motorist Malaysia is here to help you connect with buyers and sellers seamlessly. Whether it’s upgrading to the latest model or finding a reliable pre-owned vehicle, Motorist Malaysia simplifies the process.
Want to buy or sell a used car? Download the Motorist Malaysia App today.
Read More: Know your tire problems: spot & fix them fast
I want to find the highest selling price for my car within 24 hours!
Download the Motorist App now. Designed by drivers for drivers, this all-in-one app lets you receive the latest traffic updates, gives you access to live traffic cameras, and helps you manage vehicle related matters.
