Continental is to acquire Kmart Tyre and Auto Service (KTAS), one of Australia’s largest tire and auto service suppliers.
This will greatly reinforce the corporation’s tire dealership network in the country. KTAS is being sold by Wesfarmers Limited of Australia. The deal is worth A$350m (US$255m).
“Australia is a highly promising sales market for Continental,” said Nikolai Setzer (pictured), member of the executive board of Continental responsible for the tire division.
“The acquisition of KTAS marks a major expansion in our presence on the Australian tire market. This move is part of our vision 2025 growth strategy through which we are systematically expanding the worldwide presence of our tire division.”
With a current total of 258 branches, KTAS is well represented above all in the country’s densely populated east and southeast coast regions. The company, which has more than 1,200 employees, is based in Sydney, New South Wales.
The core business of KTAS comprises passenger and light commercial vehicle tire sales and service, inspections and maintenance, as well as minor mechanical repairs to brakes, air-conditioning and suspension systems.
“We are very pleased to further strengthen our commitment to the Australian market through the acquisition of KTAS – a very successful and well-known tire and auto services chain in Australia,” commented Ferdinand Hoyos, head of the PLT tire business, Asia-Pacific.
“Together with the current management team and our new colleagues at KTAS we are looking to drive forward what is already a strong network of outlets and expand their product portfolio.”
In the future, the international tire manufacturer is aiming to complement the tire, car parts and repair business with services for retail customers as well as for fleet operators in the Australian market.
As part of Vision 2025 – the Tire division’s long-term international growth strategy – Continental recently invested in more capacities in tire production at existing plants and in construction of a new passenger and light truck tire production plant in Thailand. In Germany, the corporation started construction of its Taraxagum Lab Anklam to study the industrial scale production of dandelion rubber.
