Cord Romania to operate 3.5m-euro capital increase

Cord Romania, held by Pirelli Tyre Holland and Continental, will increase its share capital by 11.5 million RON (3.5 million euros), to 36.49 million RON, announced the company. The shareholders will preserve their stakes in the company after the capital increase, with Pirelli Tyre Holland controlling 80% of the shares, while the rest of the shares are held by the German group Continental. The shareholders have recently approved the move. The Italian company invested 40 million euros in the metallic cord plant, which has an annual production capacity of 30,000 tonnes. The group also holds a tyre plant in Slatina. Pirelli announced it would invest 80 million euros this year in its Slatina-based facility and in the metallic cord plant, and estimates a production of two million tyres and 19,000 tonnes of metallic cord in 2007. For next year, Pirelli targets 3.9 million tyres in Slatina and 22,000 tonnes of metallic cord.