Michelin have sold a 3.3 per cent stake in the Indian tyres manufacturing company Apollo tyres.
It is widely believed that Michelin, which had earlier sold small portions of its investments in the Indian firm, has made a reasonable profit in the transaction, given the original cost of the purchase.
The French tyres company continues to hold around 8 per cent in Apollo Tyres, which at last traded price is valued at Rs 118 crore.
The sale went ahead for around Rs. 45-50 crore in the open market, reports ET, adding that the holding came down after QIP placement at the Indian tyremaking company raised the total number of shares of the company during 2006.
Overall, the Indian arm of the Clermont-Ferrand is estimated to have cashed out Rs. 18 crore in the second half of 2008 through open market sales.
Market sources claim that after taking into account its latest selloff, it has pocketed around Rs. 68 crore. At present, it continues to hold around 8 per cent in Apollo Tyres which at last traded price is valued at Rs 118 crore.
Headquartered in Clermont-Ferrand, France, Michelin is present in 170 countries, has around 115,000 employees and operates 68 production plants in 19 different countries.
Oliver Hall, Operations Team