Omni United acquires A to Z Tire & Battery
United
States: As a step to strengthen their distribution network in
the United States, Omni United struck an acquisition deal with the US based
distribution partner, A to Z Tire & Battery, Inc. which currently caters to
21 locations in the country.
A to Z tire was established in 1926 as
Amarillo Bus Company. Over the period, the company has evolved into a leading
multi brand distributor in the United States with a dealer network of over
6,000 dealers in the country across six states which include west and south
regions such as Montana, California, Colorado, Arizona, New Mexico and Texas.
Established in 2003, Omni
United is a Singapore based well-known tire manufacturer, which offers a wide
range of tires for passenger cars, SUVs, Trucks, Buses and Agricultural tires
that are marketed under several tire brands such as Radar tires, Timberland
tires (a partnership with outdoors lifestyle fashion and footwear brand,
Timberland), Goodride Tires, Birla Tires, Roadlux and Speedways.
“We are excited about this acquisition as it takes
the distribution business in our core market to the next level. Acquisitions
like these gives us an opportunity to work with other manufacturers and
collectively design the next generation of technology for distribution. With
the tools that are available today, there is tremendous efficiency that can be
brought into the distribution business. Our passion and drive is to bring in
efficiency to tire distribution and to service as many retail outlets as we
can. We will continue to plot our own distribution in areas where we currently
don’t have distribution arrangements” said founder and CEO of Omni United, GS
Sareen.
According to a recent report published by TechSci Research, “United
States Tyre Market
Forecast & Opportunities, 2020’’, United States automobile market is the
second largest automobile market in the world, with a motorization rate
(including passenger cars and commercial vehicles) of more than 790 vehicles
per 1,000 individuals, in 2014. Increasing disposable income due to
strengthening US Dollar, falling oil and food prices, and rising standard of
living, are resulting in an increase in production and sales of vehicles in the
US. Steady growth in sales and production of automobiles, expanding automobile
fleet, and favourable government policies, are anticipated to propel growth in
the US tire market over the next five years. Vehicle fleet in the US is
dominated by passenger cars, as a result of which, the country’s tire market is
dominated by passenger car tire segment.
TechSci
Research believes that, acquisition of A to Z Tire & Battery by Omni United
is a strategic move by the company which is anticipated to enhance the distribution
network of the company in the United States further facilitating growth of the
company in the country’s tire market by giving a rise to the market share of
the company in the global market as well as in the United States.