Investment in Tire Business
Nexen Tire, a Korea tire manufacturer, and Mubadala Investment Company (MIC), an Abu Dhabi strategic investment fund, agreed on establishing a strategic partnership.
Khaldoon Khalifa Al Mubarak, Managing Director and Group CEO of Mubadala, and Travis Kang, CEO of Nexen Tire, signed a Memorandum of Understanding (MOU) in Abu Dhabi on July 19 to explore strategic partnership opportunities. Under the MOU, MIC will make a direct investment into Nexen.
“Making a high performances with significant global growth potential, Nexen Tire represents an interesting investment opportunity for Mubadala Investment Company. Our investment approach prioritizes partnership with best-in-class global organizations as a key driver of creating sustainable growth value for our shareholders. We look forward to exploring opportunities with Nexen Tire.” Said Waleed Al Mokarrab Al Muhairi, Deputy Group CEO & Chief Executive Officer of MIC.
“This strategic partnership with Mubadala Investment Company is a significant milestone for Nexen Tire in our journey to becoming a global top 10 tire company by 2025. This collaboration will accelerate Nexen Tire’s growth in international markets,” said Travis Kang, CEO of Nexen Tire.
In addition to the equity investment, Mubadala and Nexen will explore a broader range of business initiatives, including potential further investment and an expanded cooperation in Nexen Tire’s overseas business. The two parties will also cooperate in other areas such as future automotive technology linked to the Fourth Industrial Revolution.