Michelin and Camso reached an agreement where Michelin will acquire Camso for $1.45 Billion and combine the two companies’ off-the-road (OTR) operations. This partnership will form a new division and will be managed from Quebec, Canada. The acquisition will enable Michelin to be a world leader in OTR Mobility.
The new business will benefit from the expertise of Camso’s management team and Michelin’s long-standing presence in Canada, both in Laval, Quebec and in Nova Scotia. As a world leader, the new entity will represent more than double the net sales of Camso, supported by 26 plants and approximately 12,000 employees and will benefit from sustainably dynamic markets.
Camso and Michelin researchers will bolster the Group’s innovation capacity in tracks and airless tires. Cross-fertilization of R&D expertise will enable the teams to consolidate the Group’s position as a global technological leader in support of sustainable mobility, as Michelin’s headway in terms of long-lasting performance of tires is a differentiating factor and a key strength for reducing its environmental footprint. In addition, Michelin’s technological breakthroughs in reducing soil compaction while maintaining superior traction, for example, will contribute to the products that Camso develops.
Jean-Dominique Senard, Chief Executive Officer of the Michelin group, said: “Michelin and Camso have many values in common. This acquisition is a wonderful mutual opportunity. Michelin will benefit from all of Camso’s skills in the off-the-road mobility markets and Camso from the full range of Michelin’s expertise in the specialty markets.”
“Joining up with Michelin’s off-the-road teams is a fantastic opportunity for Camso because of the similarity of our cultures as well as our growth potential,” said Pierre Marcouiller, Executive Chairman of Camso. “Camso will achieve its ambition to become the global off-the-road market leader and will contribute its dynamic teams, its technical and manufacturing assets and its customer-focused mindset. The transaction has received the backing of all Camso’s shareholders.”