Apollo Tyres gains on board nod for acquiring Reifencom GmbH

The acquisition of 100% stake in Reifencom GmbH is estimated to cost 45.6 million euros

Shares of Apollo Tyres were up over 2% at Rs 159 on the Bombay Stock Exchange after the company announced that the board of directors of the company, at its meeting held on November 16, 2015, has approved the acquisition of Reifencom GmbH through a wholly-owned subsidiary of the company.

The acquisition in cash of 100% of the equity shares carrying voting rights is estimated to cost 45.6 million euros, the company said in release.

The release also added that the acquisition will be completed in 1-3 months subject to regulatory and anti-trust approvals required in Germany and Europe.

The stock opened at Rs 155 and hit a high of Rs 160. At 12:50pm, over 3.1 million shares were traded on both the stock exchanges.