Clearwater International Denmark has advised STARCO, a European wheel and tyre supplier, on its sale to Kenda Group. The transaction follows the recent 2016 divestment of its aftermarket business (AFM) to German Bohnenkamp, in another deal advised by Clearwater International. With this acquisition, Kenda has boosted its geographical expansion into the European market and by joining forces, the ambition is for both companies to develop a stronger global presence, improve the distribution chain and gain further market insight.
STARCO is family owned and has been expanding for more than 55 years. Today, STARCO has more than 550 employees and a widespread distribution network with factories in the UK, Croatia, Sri Lanka and China, as well as eight sales and distribution locations across Europe. The company delivers tyres and wheel solutions for a wide range of OEM manufacturers and aftermarket customers in selected markets – from the smallest wheelbarrow tyre to the largest agricultural or industrial wheels. In 2016 STARCO generated over €110m turnover.
Kenda, founded in 1962 and listed on the Taiwan stock exchange, is one of the world’s leading tyre and tube manufacturers for automotive, motorcycle, bicycle, as well as wheelchair, golf car, and agricultural vehicles amongst others. The Kenda Group has over 12,500 employees and revenues in excess of $1bn.
The Clearwater International team consisted of Partner Søren Nørbjerg, Associate Partner Carsten Rydahl and Senior Associate Klaus Hansted.