Camso is a premium brand in construction equipment tyre and tracks with strong equity and market position in EU and North American aftermarket and OE segments.
The acquisition will give CEAT access to 40 global OEMs and broaden its product offering into construction tyres and bias tracks.
- It’s an all cash deal valued at $225 mn.
- Camso did revenues of $213 mn in CY23 (profit numbers have not be disclosed).
- The deal is to acquire business assets and not shares of any entity.
- Camso has two manufacturing facilities in Sri Lanka
- CEAT will get permanent rights to the Camso brand after a 3-year licensing period.
- Deal is expected to be completed in 6-9 months
It seems a good acquisition by CEAT. However, as typical of any international acquisition, operations may take time to stabilise.