Trelleborg Wheel Systems has released some details of its agreement to acquire the UK's Watts Tyre Group.

The acquisition is expected to strengthen Trelleborg's market position in industrial tyres through geographic expansion in Asia and increase its aftermarket presence. Watts Tyre Group of Lydney, United Kingdom has a sales presence in 60 countries. It employs about 230 people and has annual sales of approximately SEK300 million (USD43.5 million).

"The acquisition is a further step in our strategy to continuously strengthen our positions in selected segments," says Trelleborg Wheel Systems business area president Maurizio Vischi.

Vischi explains that the transaction will also generate opportunities for future growth and create possibilities for synergies, mainly through increased use of the firm's plant in Sri Lanka.

"With the acquisition of Watts Tyre Group, we are taking our industrial tyre operation to a new level," he adds. "We will become stronger in the aftermarket and will have access to an advanced service concept that is marketed under the name Interfit."

Watts Tyre Group announced this year that its UK operating division Watts Tyre Services would become Interfit Ltd after an extensive rebranding process (Forkliftaction.com News #452).

The acquisition, expected to be finalised by the first quarter of 2011, is valued at about SEK230 million (USD33.4 million).

Trelleborg is a global industrial group comprising of four business areas, engineered systems, automotive, sealing solutions and wheel systems. Its 2009 annual sales were approximately SEK27 billion (USD3.9 billion) and it has about 20,000 employees in 40 countries.