APOLLO TYRES LTD

Apollo Tyres Limited is the leading tyre manufacturing company in India, which was incorporated on 28 September, 1972 and started production with its first manufacturing plant in at Perambra in Kerala. At present, Company is engaged in manufacturing and sale of automobile tyres and tubes. Its largest operations are in India and comprises five tyre manufacturing plants, two located in Cochin and one each at Vadodara, Chennai and Andhra Pradesh and various sales and marketing offices spread across the country. It also has sales and marketing subsidiaries in Middle East, Africa and ASEAN region. Outside India, the company has a manufacturing facility each in The Netherlands and Hungary. In the year 1991, the company commissioned their second plant at Limda in Gujarat. In the year 1995, they acquired Premier Tyres at Kalamassery in Kerala. In the year 1996, exclusive tubes plant commissioned in Ranjangoan in Maharashtra and in the year 2000, they established exclusive radial capacity in Limda. On November 17, 2003, the company entered into an strategic alliance Michelin, France for setting up a joint venture company namely Michelin Apollo Tyres Pvt Ltd for producing dual branded truck & bus radial tyres in India. In the year 2004, they produced India's first H-speed rated tubeless passenger car radial tyres. Also they increased the production capacity of Automobile Tyres and Automobiles Tubes by 1283560 Nos and 414000 Nos respectively and in the next year, they further increased the production capacity by 1466432 Nos and 1567200 Nos respectively. During the year 2005-06, the company incorporated a wholly owned subsidiary company, Apollo (Mauritius) Holdings Pvt Ltd in Mauritius and they also formed Apollo Automotive Tyres Ltd and Apollo Radial Tyres Ltd as wholly owned subsidiaries of the company. In the same year, PTL Enterprises Ltd ceased to be a subsidiary company. Also, the company realigned their relationship with Michelin and exited from the joint venture company Michelin Apollo Tyres (P) Ltd. The company increased the production capacity of Automobiles Tyres and Automobile Tubes by 1045632 Nos and 1379360 Nos respectively during the year 2005-06 and they further increased the production capacity by 888340 Nos and 218440 Nos during the next year. During the year 2007-08, they increased the production capacity of Automobile Tyres by 836620 Nos. Thus the total capacity for Automobile Tyres and Automobile Tubes increased to 9659232 Nos and 6741000 Nos. On April 21, 2006, the company acquired Dunlop Tyres International (Pty) Ltd, South Africa. During the year 2006-07, they increased the manufacturing capacity of Camel Back/Pre Cured Tread Rubber by 217000 Nos to 220000 Nos and in the next year they further increased to 248040 Nos. The company incorporated Apollo Tyres AG, Switzerland as a wholly owned subsidiary with effect for July 4, 2007. Also, two subsidiaries namely Apollo Automotive Tyres Ltd and Apollo Radical Tyres Ltd have been desubsidiarized with effect from December 21 2007. In May 2008, the company opened their first full-services branded commercial vehicle tyre outlet called Apollo Trust in Salem, Tamilnadu. In September 2008, Apollo Tyres launches XT-100K which is a cross-ply tyres designed for unmatched performances.On 10 February 2011, Apollo Tyres formally inaugurated its 9th global tyre manufacturing unit and the 4th in India on the outskirts of Chennai city. The Chennai plant currently produces 7000 passenger vehicle tyres and 1300 commercial vehicle tyres a day. At its terminal capacity, production is expected to reach 16,000 passenger vehicle and 6,000 commercial vehicle tyres a day. On 30 May 2011, Apollo Tyres announced the launch of India's only full-service outlet for commercial vehicles Apollo Commercial Vehicle (CV) Zone on the outskirts of Delhi, in Sanjay Gandhi Transportnager. On 14 June 2011, Apollo Tyres announced its entry into Sri Lanka market through a tie-up with Ideal Motors, the automobile distribution and marketing arm of the Ideal Group of Companies. Initially Apollo Tyres will focus on passenger vehicle and cross-ply truck and light truck tyres. This will be gradually expanded over time to include Apollo's entire range currently sold in India, including truck bus radial, agriculture and off-highway tyres, if and when needed. On 10 May 2012, Apollo Tyres announced that its consolidated revenue crossed yet another milestone of US$ 2.5 billion in the year 2011-12 despite challenging circumstances. On 14 January 2013, Apollo Tyres announced the opening up of its global R&D centre in Enschede, the Netherlands. This state-of-the-art facility will serve as a hub for the development and testing of car and van tyres for all product brands -- Apollo, Vredestein and Dunlop (32 countries in Africa) -- of the company. On 2 May 2013, Apollo Tyres inaugurated its Sales Office in Bangkok to serve the entire ASEAN region, with Thailand as the hub of operations. The ASEAN region has gradually become one of Apollo's strongest export markets, out of India, accounting for more than 40% of exports revenue. On 12 June 2013, Apollo Tyres and Cooper Tire & Rubber Company (NYSE: CTB) announced the execution of a definitive merger agreement under which a wholly-owned subsidiary of Apollo will acquire Cooper in an all-cash transaction valued at approximately Rs 14500 crore. Under the terms of the agreement, which has been unanimously approved by the boards of directors of both companies, Cooper stockholders will receive $35 per share in cash. The transaction represents a 40% premium to Cooper's 30-day volume-weighted average price. Cooper, the 11th-largest tire company in the world by revenue, was founded in 1914 and supplies premium and mid-tier tires worldwide through renowned brands such as Cooper, Mastercraft, Starfire, Chengshan, Roadmaster and Avon. The combined company will be the seventh-largest tire company in the world and will have a strong presence in high-growth end-markets across four continents. With a combined $6.6 billion in total sales in 2012, the combined company will have a full range of brands and greater ability to satisfy customer needs worldwide. The transaction is expected to be immediately accretive to Apollo's earnings. On 2 December 2013, Apollo Tyres announced the closure of the transaction with Sumitomo Rubber Industries (SRI), wherein SRI takes over Apollo Tyres South Africa (ATSA) including the Ladysmith passenger car tyre plant, and the Dunlop brand rights that Apollo had in 32 countries of Africa, for US$ 60 million. Apollo retains the Durban plant which manufactures Truck & Bus Radial (TBR) tyres and Off Highway tyres (OHT) used in the mining and construction industries. Post this transaction, Apollo Tyres will continue to sell Apollo, Vredestein and Regal branded tyres in Africa, and at the same time focus on creating and strengthening its sales and distribution network across the continent. On 5 December 2013, Apollo Tyres announced the introduction of its premium European brand, Vredestein in India. These premium tyres would be sold through multi-branded outlets, including existing Apollo Zones.On 26 February 2014, Apollo Tyres announced its entry into the growing Qatar market in the Middle East region. The entry was marked with a product introduction to the Business Partners in Qatar. This entry is part of the company's strategy to enter newer markets across geographies. On 15 May 2014, Apollo Tyres announced that its consolidated net profit crossed Rs 1000 crore in financial year 2013-14. The Board of Directors of the company at its meeting held on 15 May 2014 approved Greenfield project in Eastern Europe, at a project cost of about Euro 500 million over the next 4 years, funded with internal accruals and debt at its European subsidiary. The planned capacity of the Greenfield project is expected to be 16000 passenger car tyres per day and 3000 Truck Bus Radial Tyres per day. On 13 December 2014, Apollo Tyres announced the launch of the dual branded Apollo & Manchester United tyres in Thailand. Thailand is the first country in Asia, and only the second country globally, after United Kingdom, to see the launch of the Manchester United branded tyre. The tyres will be available at Apollo's retail network partners nationwide with prices starting at Baht 2000 per tyre depending on size of tyres that range from 15-16 inches for the market in Thailand. On 26 August 2015, Apollo Tyres announced that it has successfully closed a Rs 300 million financing for its Greenfield plant in Hungary. An international consortium of banks consisting of ABN AMRO Bank N.V., Magyar Export-Import Bank Zrt., Raiffeisen Bank Zrt., Standard Chartered Bank and UniCredit Bank Hungary Zrt. supported the company and provided the debt financing. On 5 October 2015, Apollo Tyres inaugurated it first branded retail outlet in Lebanon. Branded as Apollo Zone, this outlet is designed to provide customers with an enhanced retail experience and a better feel for the brand and products on display, including passenger car, truck- bus and agriculture tyres. On 26 October 2015, Apollo Tyres inaugurated two new Apollo Zones - the company's branded retail outlets -- in Amman, Jordan. These outlets are designed to provide customers with an enhanced retail experience and a better feel for the brand and products on display, including passenger car, truck-bus and agriculture tyres. On 16 November 2015, Apollo Tyres announced the acquisition of Reifencom GmbH, one of the largest tyre distributors in Germany for Euro 45.6 million. Reifencom GmbH has an online presence in 6 countries -- Germany, France, Italy, Austria, Switzerland and Denmark. In addition, it operates 37 stores and service centers across Germany. On 7 March 2016, Apollo Tyres launched Apollo Acti series two wheeler tyre, thereby making its foray in two wheeler tyre segment. Designed and developed at the company's Global R&D Centre in Chennai, Apollo Acti series for bikes and scooters, would cover nearly 85% of the replacement market for two-wheeler tyres in India. On 30 May 2016, Apollo Tyres inaugurated the company's Malaysian office. Subsequent to setting-up its sales & distribution hub in Bangkok for the ASEAN region, Apollo Tyres has been increasingly focusing on expanding its footprint in South East Asia. The company is targeting a bigger share of the pie in the Malaysian replacement tyre market, which has an annual capacity of 580,000 truck-bus radials and 9.5 million passenger car tyres. Apollo Tyres is building a complete team of sales and service personnel to service the Malaysian customers. On 15 September 2016, Apollo Tyres launched three new truck-bus radials Apollo EnduRace RD HD, Apollo EnduMile LHD and Apollo EnduComfort CA. The new product introduction is part of the company's overall strategy to dominate the truck-bus radial category in India On 9 November 2016, Apollo Tyres formally inaugurated its Global R&D Centre, Asia just outside the southern Indian city of Chennai. This is company's 2nd Global R&D Centre, after the Global R&D Centre, Europe in the Netherlands, which is operational since 2013. On 10 April 2017, Apollo Tyres introduced Apollo Apterra HT2 tyre for the growing 4x4 and SUV segment and the actiZip F2 and actiZip R3 tubeless tyres for motorcycles. On 10 April 2017, Apollo Tyres formally inaugurated its tyre manufacturing unit in Hungary. Located less than 100 km from the capital Budapest, this is Apollo Tyres' first greenfield facility outside India. This facility will help us further increase the company's presence and market share in Europe. The company is investing Euro 475 million in this facility. The final capacity at the end of Phase I would be 5.5 million passenger car & light truck (PCLT) tyres and 675,000 commercial vehicle tyres. This facility will complement Apollo Tyres' existing facility in the Netherlands, and will produce both Apollo and Vredestein brand of tyres for the European market. On 27 April 2017, Apollo Tyres announced its debut in the extremely competitive Truck and Bus Radial (TBR) tyre segment in Europe at the ongoing Commercial Vehicle Show in Birmingham. It has also become the first and only manufacturer to launch its TBR range exclusively online, with a new go-to-market approach. On 18 July 2017, Apollo Tyres announced the launch of its two-wheeler tyres in Sri Lanka. Since its introduction in the Sri Lankan market in 2011, Apollo's products have been well accepted across the country; and, this has prompted the company to introduce its two-wheeler range as well to service the estimated 250,000 - 300,000 vehicles a year market. On 6 September 2017, Apollo Tyres announced that the company's premiere tyre brand, Vredestein, has been selected as a fitment on the Volkswagen Polo, SEAT Ibiza and Ford EcoSport, and the supplies have already begun to these European Original Equipment Manufacturers. By entering the supply chains of world-leading carmakers such as Volkswagen, Ford and SEAT, Apollo Tyres has embarked on a very important journey with European OEMs. On 10 October 2017, the company had issued and allotted 63,025,210 Equity Shares to eligible qualified institutional buyers at the issue price of Rs 238/- per share (including premium of Rs 237/- per share) aggregating to Rs 15,000 million, through private placement under QIP. Pursuant to the allotment, the paid up equity share capital of the Company stands increased from Rs 509,024,770 to Rs 572,049,980 comprising of 572,049,980 Equity Shares of Rs 1/- each. The foundation stone of Apollo Tyres' ultra modern global scale manufacturing facility located in Chinnapanduru village, Chittoor district, in the state of Andhra Pradesh was laid on 10 January 2018. Apollo Tyres has purchased 200 acres of land from the AP Govt for the manufacturing facility, and would be investing close to Rs 1800 crore in the first phase. The construction will start within the next 6 months, and the tyres are expected to start rolling out from this facility in the following 24 months. The company plans to start with manufacturing of passenger vehicle tyres in this facility, due to the growing demand in this segment, and will later on expand to start producing other product categories as well. On 5 March 2018, Apollo Tyres announced that it is launching a brand-new summer tyre onto the market called the Apollo Aspire XP. Leveraging on the very latest developments in terms of construction and material technologies, the Aspire XP combines outstanding levels of on-road comfort with a high degree of safety. Featuring a total line-up of 52 SKUs, the Aspire XP replaces Apollo's range of Aspire 4G and Apterra HP tyres. As on March 31, 2019, your Company had 37 Overseas Subsidiary Companies (including step subsidiaries), 2 Associate Companies and 1 Joint Venture company under its roof. Apollo (South Africa) Holdings (Pty) Ltd. had executed a sale of shares agreement with Tacoma Foods (Pty) Ltd. to sell its entire stake in Pressurite (Pty) Limited effective 31 May 2019. Hence Pressurite (Pty) Limited is no more an Associate Company of Apollo (South Africa) Holdings (Pty) Limited. As on March 31, 2020, Company had 35 Overseas Subsidiary Companies (including step subsidiaries), 1 Associate Company and 1 Joint Venture. In FY20, the Company's launched tyres for both Truck Bus Bias (TBB) and Truck Bus Radial (TBR) for the new axle load norms for trucks in the Medium and Heavy Commercial Vehicle (M&HCV) category. In one of the fastest growing segment of the LCV/SCV category, Pickups, the Company launched the Endumaxx LT range and offered unmatched cost of ownership, highest mileage, a very durable product and fuel savings. The Passenger Vehicle category saw the Company introducing its 2nd generation All-Terrain SUV tyres, Apterra AT2, for the off-road enthusiasts. Further, the Company introduced Amazer XP, a new age low rolling resistance tyre with low noise and high comfort for the entry level hatchbacks and sedans. This launch was very well received by OEMs as well and readily bagged new OEM fitment for Tata Tigor, Tiago (including the Electric Vehicle models), Renault Kwid, Datsun Go and Go+. It introduced products like VIRAT 23 and VIRAT Harvest in the e agriculture segment. It launched 17 new SKUs for the higher premium bikes and scooters and extended its steel radial portfolio with the launch of two new SKUs - Alpha S1 140/60 R17 and 130/70 R17 in the two-wheeler segment. In Europe, Vredestein was recognised as All-Season Manufacturer of the Year' by Auto Bild. The year also saw success in adding Volkswagen (for VW Golf Mark 8) to the expanding OEM list. It launched an additional SKUs on the 17.5' range bringing its market coverage on 17.5' range to 70% in the TBR segment in Europe. In Agricultural segment, it introduced the world's tallest radial flotation tyre and set new standards in terms of rolling ability and soil preservation and in a world-beating diameter of 2.15 metres. This was followed by the introduction of a new tractor tyre, the Vredestein Traxion 65. In the bicycle tyres, it was a proud recipient of the coveted Eurobike Award for its Vredestein Fortezza Flower Power bicycle tyre. In the Motorcyle segment, it introduced the Centauro range of sport touring radial tyres designed especially for motorcycles on European roads. The Company was allocated ~256 acres land by Andhra Pradesh Industrial Infrastructure Corporation (APIIC) for setting up project. It obtained pre establishment approvals from various Departments including Consent for Establishment, Building plan approval and Fire NOC before start of construction in November, 2018. During FY20, the company has completed its Greenfield project within the agreed timelines. Production ramp up for both Passenger car & Commercial vehicle tyres continued during the year. In FY21, the Company inaugurated its new greenfield plant in Andhra Pradesh, India. For other countries in the APMEA A (Asia Pacific, the Middle East and Africa) region, it continued seeding the markets with country-specific products, building brand salience and expanding distribution networks. In the Truck Bus Bias (TBB) segment, it launched its bias rib tyre, Apollo Abhimanyu, which became the new benchmark of performance within the segment. In addition, the premium drive tyre, Apollo XT100 HD, was launched. In the Light Commercial Vehicle (LCV) segment, the Company continued to play on its strength of radials and dominated the market with an extremely high replacement market share. The product quality gained favour with the OEMs, which led to Apollo earning one of the highest shares of its business. In Pickup and SCV radials, the Company's EnduMaxx LT initiated its journey towards leadership. In the replacement market, it gained market share and found fitments in reputed OEMs, including Ashok Leyland, Tata Motors and Isuzu. Increased focus on rural journeys also supported the growth in this segment. It continued to cement its market leadership position in India in the Passenger Vehicles (PV) segment. The growth strategy was driven by high decibel marketing campaigns, expansion of its distribution footprint, new product launches and increasing the base of OEM clients. In the passenger car segment, the Company saw strong growth across all its brands. The Aspire 4G range, which is known for its exceptional high-speed braking and control, posted a strong growth and reinforced its presence in the luxury segment owing to range expansion, multiple branding initiatives and increasing penetration among the dealers. Having expanded its Aspire 4G portfolio, the Company can cater to a wide range of luxury car brands, such as Audi A6, Ford Mustang, BMW 3 Series, Mercedes CLS, Mercedes M Class, Porsche Cayenne and VW Touareg. The other brands for the segment, including the Alnac and Amazer, posted strong growth. In fact, the Company recorded an unsurpassed figure of about 345,000 units of Amazer 4G Life in the month of March 2021. On the OEM front, Apollo witnessed positive growth due to the revival in OEM sales. It also added OE fitment to its portfolio for prominent OEMs, such as Creta and Venue from Hyundai and Seltos and Sonet from Kia. It launched a dedicated tyre for the CSUVs-Apterra Cross. By expanding its already strong portfolio, It introduced next generation products for backhoe loaders, graders and compactors under the Terra' brand. In the Earthmover category, Apollo Tyres continued to bag key tenders with Coal India. It inaugurated its motorcycle tyre plant in Limda, Gujarat, for high-end X-ply and steel radial products. In the high-end X-ply products for premium motorcycles, the Company launched a specialised off-road pattern for Royal Enfield motorcycles, actiGRIP R6 and actiGRIP F6. For CV segment, the Company focused on expanding its retail network of Apollo CV Zones, which offer best-in-class tyre service to commercial truck and bus fleets. It launched first motorcyclingbased web series with PowerDrift. It continued connecting with its loyal communities across cities via digital variants of its flagship Bad Road Buddies' initiative and regional biking. In the CV space, the Company continued to build the driver connect programme, Apollo Swastha Saathi'. The programme expanded to include new districts and has been recognised by the driver community for ensuring their health and safety, especially during the pandemic. Building a strong brand across segments, the Company become the first Indian tyre company to introduce the branded retail concept in agriculture tyres and opened four Apollo Farm Zones' during the year. It also expanded its concept of Apollo Farm Points' with more than 200 additions in FY21. Beyond expanding the retail network, it connected with end consumers through digital and social media platforms. It organised the second edition of Apollo Farm Power Awards in collaboration with ICFA (Indian Chamber of Food & Agriculture) to recognise the best tractor models introduced in India across different categories. This event was graced by the Agriculture Union Minister with active participation from all key OEMs. With operations in key countries like Thailand, South Africa, Philippines, UAE, Ethiopia and Indonesia-in the APMEA region, it continued to invest in creating brand, working on requirements of each region to bring country specific products. In the agricultural segment, the Company witnessed stable sales and continued to hold on its market share. It added new OEM customers, including Caterpillar and Liebherr, and posted growth as a consequence of strong replacement volumes in the Industrial Construction segment. As on March 31, 2022, your Company had 34 Overseas Subsidiary Companies (including step subsidiaries), 1 wholly owned Subsidiary in India, 2 Associate Companies and 1 Joint Venture. During the year 2022, the Company had made an investment of Rs. 49 million in the equity share capital of Apollo Tyres Centre of Excellence Ltd, a wholly owned Subsidiary of the company. Also it made an investment of Rs 93 million by purchasing 11,66,250 Equity Shares (27.2%) of CSE Deccan Solar Private Limited on January 14, 2022, for its Chennai Plant. Consequent to this investment, CSE Deccan Solar Private Limited was made an Associate Company. During 2023, the Company introduced a Moto-Cross Tyre brand, Tramplr' in the two-wheeler segment; launched Quatrac Pro EV specifically designed for electric vehicles; launched All-Terrain tyre, the Vredestein Pinza in Europe; launched Apollo Apterra AT2 in SUV segment, and Apollo Endutrax MA in the CV segment. It achieved a milestone for flagship CV product, Endurace LD, posting sales of over 10 million units since its inception in 2010; launched Vredestein premium motorcycle tyres in Bangkok, Thailand, strengthening its product offering in the ASEAN market; launched Go The Distance' Pitch built with repurposed tyres at its manufacturing facility in Andhra Pradesh; introduced a new Vredestein VF Flotation tyre for optimum soil preservation; launched new generation Agriculture tyres, VIRAT' range in Chandigarh; launched Micro-Mobility tyre - The Vredestein Cargo; introduced the Tramplr range of Enduro Off-road and Enduro Street tyres for Indian premium motorcycles market (150 - 500 cc). The Company launched Avolve, to its business, at commercial vehicle fleet operators in FY24. It implemented an advanced manufacturing execution system (AMES) across all its plants and operations. It announced a partnership with NATRAX, a leading provider of testing & validation services, to establish India's first test track specifically designed for Electric Vehicles (EVs) and low rolling resistance tyres. In another milestone, TMT Tanks & Trailers, a leading Italian trailer manufacturer, selected Apollo Tyres' EnduRace RT2 tyre as original equipment for its premium moving floor' truck trailers. This partnership marked a significant expansion of the OE relationships across the Europe market in 2024.