The Marangoni Group has announced the acquisition of GRP Ltd.’s 50% stake in the joint venture company in India - Marangoni GRP Pvt. Ltd - through its wholly owned subsidiary, Leader Rubber Company (SA) Prop. Ltd, South Africa, thereby marking the start of the Italian company’s solo journey in the Indian market.
Remaining Shares in Indian JV Acquired
Commenting on the development, Vittorio Marangoni, President of Marangoni Group, reaffirmed Marangoni’s focus on India as the most growing country in its global expansion plans. With its flagship product, RINGTREAD, the company has established a premium and unique position in the Indian truck tyre market and amongst quality conscious fleets through its chain of Franchisee Partners in Gujarat, Maharashtra, Kerala, Tamil Nadu and Telangana. While the JV has achieved some key milestones over the last few years, the company intends to deepen and accelerate its business in India with this acquisition.
Speaking on the occasion, Brett Sproson, Managing Director, Leader Rubber Company, said that he was excited to see the progress the company and its Franchisees have made in establishing the Marangoni brand in India. He believes that the market dominating position that Leader enjoys in Africa has great synergy with the Indian market. Leader Rubber’s deep experience in flat treads will add to the Indian team’s focus on RINGTREAD – all towards establishing a potent product portfolio to cater to more fleets and applications.
According to Hemant Kaul, CEO of Marangoni in India, the forward path of the company is clear, with the focus on supporting franchisees in growing their business and margins in their individual markets. He thanked each Franchisee Partner for their patience and support during COVID-19 and subsequent period and assured them that several new initiatives are ready to roll out in quick succession. Kaul believes that the recent and growing trend of fleets seeking high quality retreading solutions amongst galloping tyre prices, is here to stay and provides Marangoni with a unique opportunity to increase its market share. In recent months, several of Marangoni’s customers have displayed a strong desire to significantly increase their retread to new tyre ratio to shield their business from rising costs.