Cooper Tire & Rubber Co.’s partnership with China’s Chengshan Group is worth $440 million, according to an independent valuation firm.
That valuation announcement gives Chengshan Group 45 days to decide whether to end or possibly mend its fractured partnership with Cooper Tire.
The partnership suffered in 2013 when the Cooper Chengshan Tire factory and its unionized workers sabotaged the proposed sale of Cooper Tire to Apollo Tyres of India.
Chengshan Group may either buy Cooper Tire’s 65 percent interest in the business, for $286 million; sell its 35 percent share to Cooper for $154 million; or do nothing.
If Chengshan does nothing, then Cooper Tire may buy Chengshan’s 35 percent interest.
If neither party elects to buy the other’s interest in Cooper Chengshan Tire Co., then the partnership will continue as currently structured.
The steps for resolving the future of the partnership were agreed to by both companies.
- The Docket
- Member Service