Pirelli will focus entirely on consumer-grade tires

Pirelli is preparing to enter the IPO in the first half of 2018; She is going to do it as a company "completely focused on consumer-grade tires."

As part of the process, the business branch of industrial tires Pirelli, which is estimated at 700 million euros, will be renamed Prometeon Tire Group S.r.l (PTG) in April.

In October last year, after the Italian manufacturer bought ChemChina, Pirelli changed 10% of its business in the Pirelli Industrial tire segment, 80% of the business in the Aeolus passenger car segment. Not so long ago, in March, 52% of PTG shares owned by Pirelli TP Industrial Holding were assigned to the investment company Marco Polo, created to assist ChemChina in the process of acquiring Pirelli. At the same time, 38% stake in PTG was sold to the Chinese investment fund Cinda for 226 million euros.

The new ownership structure should allow both Pirelli and PTG to maintain a certain independence.

"Pirelli will be fully focused on business in the consumer class segment," the company said in an official statement.

The Italian manufacturer also reports that this move will strengthen its position in the highly profitable market segment. The Pirelli business model will be more focused on the end user.