UAE's MAG says intends to buy Continental plant

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A Gulf-based group is pressing ahead with plans to buy a strike-hit tyre factory in France and has plans to produce 3 million tyres a year with around half its current workforce.

United Arab Emirates-based industrial and property group MAG said on Wednesday it had submitted a letter of intent to Continental AG to begin due diligence on buying the Claroix plant in northern France which had been slated for closure.
"We have yesterday sent a letter of intent to Continental ... the objective is to regulate the relationship until we reach a final agreement," MAG vice-chairman Fawaz Sabri told Reuters.

Germany-based Continental said on May 6 it was ready to hold talks with MAG on selling the Claroix plant, a move which could bring an end to France's most high-profile industrial dispute.

Initial story here.