WEST CHICAGO, Ill., March 29, 2022 /PRNewswire/ -- Titan International, Inc. (NYSE:TWI) ("Titan" or "TWI") has entered into a definitive agreement for the sale of its Australian wheel business, to OTR Tyres, a local leading national tire, wheel and service provider. The closing date is expected to be Thursday, March 31, 2022.

The sale includes gross proceeds and cash to be repatriated of approximately A$23 million, and the assumption of all liabilities, including employee and lease obligations. The purchase price is subject to customary post-closing review and potential adjustments related to target working capital, along with the release of certain restricted cash related to lease guarantees. The proceeds related to the transaction are expected to be primarily utilized to pay down debt and pay advisory fees.

Paul Reitz, President and Chief Executive Officer, commented, "In recent years, we took a number of steps to turn around the financial performance in this business, including exiting from the tire servicing business and less profitable products. Our Australian management team has consistently made decisions to put the business on a good path. In concert with our Board of Directors, we believe the business will be best suited in the hands of a local market leader, which can continue to develop and grow the business going forward. We will continue to operate our undercarriage business in Australia, and the sale of this business will have minimal impact on sales of tires manufactured by Titan. We thank all of our dedicated employees in this business for their contributions to Titan's success and we wish them the very best in their future with OTR Tyres."

Safe Harbor Statement: This press release contains forward-looking statements. These forward-looking statements are covered by the safe harbor for "forward-looking statements" provided by the Private Securities Litigation Reform Act of 1995. The words "believe," "expect" and other similar expressions are intended to identify forward-looking statements. These forward-looking statements are based on our current expectations and beliefs concerning future developments and their potential effect on us. Although we believe the assumptions upon which these forward-looking statements are based are reasonable, these assumptions are subject to significant risks and uncertainties. Additional risks and other factors that could cause actual results or events to differ materially from those contemplated in this release are detailed in the Company's reports on Forms 10-K and 10-Q filed with the Securities and Exchange Commission. These forward-looking statements are made only as of the date hereof. The Company cautions that any forward-looking statements included in this press release are subject to a number of risks and uncertainties, and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events, or for any other reason, except as required by law.

About Titan: Titan International, Inc. (NYSE:TWI) is a leading global manufacturer of off-highway wheels, tires, assemblies, and undercarriage products. Headquartered in West Chicago, Illinois, the company globally produces a broad range of products to meet the specifications of original equipment manufacturers (OEMs) and aftermarket customers in the agricultural, earthmoving/construction, and consumer markets. For more information, visit www.titan-intl.com.

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SOURCE Titan International, Inc.