The European Commission says it has approved Bridgestone Corp. subsidiary Bridgestone Americas Holding’s proposed $1.05 billion acquisition of retread tire manufacturer Bandag. The proposed merger, under which Bandag will become a subsidiary of Bridgestone Americas Holding, brings together one of the world’s largest new tire suppliers and a major retreading company.
Bridgestone said in April it wanted to acquire the outstanding shares of each class of Bandag stock for $50.75 per share. After examining the proposed deal, the commission concluded the transaction would not significantly impede competition in the European Union or any substantial part of it.
Bandag, which serves trucking fleets through more than 900 franchisees in nearly 100 different countries, has manufacturing plants in Brazil, Belgium, Canada, Mexico and six U.S. locations. Japan-based Bridgestone is the world’s largest tire manufacturer.