Finland-based Solidium Oy has confirmed the acquisition of 5.1% of Nokian Tyres for approximately €205 million ($233 million).
The shares have been acquired from the market over the last few months, the company said. Following the share purchases, Nokian Tyres represents around 3% of Solidium’s equity investments, totalling some €8.1 billion. Solidium is a holding company wholly owned by the State of Finland and a minority owner in “nationally important” listed companies.
Solidium’s CEO, Antti Mäkinen, said Nokian Tyres had successfully executed its niche strategy in the global tyre market over a long period.
“The company has promising growth opportunities at its hand owing to the greenfield investment in its third production factory, which is being built in Dayton, USA, and the investment to increase production capacity in its factory in Nokia, Finland.
“Due to these reasons, we believe Nokian Tyres has excellent foundation to create value for its shareholders. In addition, the investment done by Solidium strengthens and stabilises Finnish ownership in the company.”
In addition to providing tyres for commercial vehicles, Nokian’s Heavy Tyres division provides specialist tyres that minimise unscheduled maintenance breaks and maximise productivity in mining and tunnelling operations.