Hankook Tire has agreed to acquire a 100 percent equity stake of Reifen-Mueller, one of Germany’s largest and independent tire wholesalers and retailers. In addition to Reifen-Mueller’s sales distribution affiliate company, Reifen-Mueller KG, the acquisition also will include Reifen-Mueller GmbH & Co. Runderneuerungswerk KG as well.

Reifen-Mueller was founded in 1966. It currently employs more than 700 staff and owns 44 service centers in Germany, selling a wide range of tires from passenger car, and light truck to heavy truck and bus tire segments as well as motorcycle and agricultural tires. Both the current owners, as well as the acting management of Reifen Mueller will continue to serve as group management of the company.

With the acquisition of Reifen-Mueller, Hankook Tire will secure one of the most innovative tire distribution models in Germany, the company says, which is to have an extremely competitive automotive market. It will allow the tire maker to expand its distribution channels in Europe, laying down the basis for strengthening the company’s global distribution competitiveness.

Furthermore, Hankook Tire will leverage Reifen-Mueller’s 44 service centers as strategic bases to expand its business by solidifying its distribution networks. Through the distribution network that sells global multi-brands along with its own products, Hankook Tire will further complete the existing customer-oriented distribution system that thoroughly reflects the needs of consumers.

This acquisition puts additional focus on enhancing Hankook Tire’s global distribution business and establishing an innovative distribution system. In 2017, it acquired Australia’s one of the top retail franchise channel JAX TYRES. This not only contributed to increasing the sales in Australia, but also enabled Hankook Tire to apply JAX TYRES’ advanced distribution system to its 4,000 direct and franchised distribution channels globally.

Hankook Tire will continue to successfully follow its organic growth strategy by building large scale manufacturing plants and R&D centers, and establishing innovative distribution networks to strengthen its global positioning as a leading tire company. It also will engage in consistent M&A investments with partners that can provide maximum synergy to reinforce its global competitiveness.