The Bridgestone Corporation has announced that its Bridgestone Mining Solutions Australia division has completed the acquisition of Otraco International - an OTR tyre management solutions provider. Bridgestone acquired the company from Downer EDI Limited at the start of December 2021 in a transaction valued at AUD 79 million.
Strategic Growth Investment part of Bridgestone's Mid Term Business Plan
Bridgestone's Mid Term Business Plan, which runs from 2021-2023 is to expand and accelerate the global expansion of its solutions. Thinking ahead, the company has a vision statement, "Towards 2050, Bridgestone continues to provide social and customer value as a sustainable solutions company." Related to mining, Bridgestone sees the area as a particular element in its business strategy, with the Group proactively injecting strategic resources to make bigger leaps towards its sustainability target.
Otraco is an OTR tyre management solutions provider with skilled tyre technicians based at mine locations within Australia, Chile and South Africa. Otraco's computerised tyre management system, Otracom allows workers in the sector to have extended security.
Otraco will create synergy with Bridgestone's mining tyre and solutions business to align with Bridgestone's belief in a global network of safe, efficient operations for mining fleets while improving productivity and reducing CO2 emissions at the same time.
The acquisition, Bridgestone predicts will have only a minor impact on its financial results for 2021. Instead, the acquisition will be for Bridgestone a step in the right direction to achieving its Mid Term Business Plan objectives of strategic growth investments to strengthen and expand its core business operations while enhancing its sustainability credentials.