Bridgestone announced it has entered an agreement to acquire Australia-based Otraco International, a leader in Off-the-Road (OTR) tire management solutions, from Downer EDI Limited.
This acquisition will accelerate the growth of Bridgestone’s global mining solutions business and expand the company’s service network in key markets such as Australia, Chile and South Africa.
All business assets, including Otraco’s sales offices and training facilities, OTR customer relationships and the company’s approximately 860 employees will transfer to Bridgestone upon completion of the sale. The transaction, valued at AUD 79 million, is expected to close by the end of 2021. The sale is subject to regulatory approvals and other customary closing conditions. The impact of this acquisition on Bridgestone’s consolidated financial results for 2021 will be minor.
“Today we are announcing another significant step in our ongoing solutions journey,” said Masahiro Higashi, Global COO and Representative Executive Officer, Bridgestone Corporation. “Acquiring Otraco will allow us to quickly expand our mining solutions business in key markets and create growth opportunities with existing mining customers. Otraco has an extensive service network built on strong customer relationships and we are excited for their team of experts to join Bridgestone.”