CEAT Buys Michelin's Camso Business At $225 Million - Details

RPG-Group-owned CEAT, on Friday, announced the acquisition of Michelin's Camso brand’s Off-Highway construction equipment tyre and tracks business in an all-cash deal valued at about $225 million. In an exchange filing, CEAT said that the deal is not a stake purchase, but a mere acquisition of business assets of Michelin.

CEAT Buys Michelin's Camso Business At $225 Million - Details

In an exchange filing, CEAT said that the company has entered into a definitive agreement(s) to acquire Camso brand’s Off-Highway Construction equipment bias tyre and tracks business from Michelin. The transaction includes the business with revenues of $213 Mn in CY23 along with two manufacturing facilities and global ownership of the Camso brand, after an initial 3-year licencing period.

CEAT is hopeful that the acquisition of Camso's business assets will provide it with the ability to widen its product base into Off-Highway Tyres and tracks segments, which include agriculture tyres and tracks, harvester tyres and tracks, power sports tracks and material handling tyres.

CEAT Buys Michelin's Camso Business: Journey Towards Being global Tyre Maker - Goenka

As a part of the deal, the Camso brand will be permanently assigned to CEAT across categories after a 3-year licensing period. The Business has two manufacturing facilities located in Sri Lanka. “This acquisition has a significant strategic consequence for CEAT as it catalyzes the company’s journey towards being a leading tyre maker globally,” Anant Goenka, Vice Chairman, of RPG Enterprises said. 

“Access to the most premium customers, a high-quality brand and a qualified global workforce is what excites us the most about this acquisition. The track segment is a technologically superior segment with a limited number of global players,” said Arnab Banerjee, MD & CEO, CEAT.