Continental Tires Out, Franchise Power In: Continental Group Spins Off French Retail Arm to ASC in Strategic Pivot

In a bold reimagining of its go-to-market strategy in France, Continental Group has entered exclusive negotiations to sell its company-operated BestDrive retail business—comprising over 130 tire and auto service centers, two retreading plants, and a dedicated administrative support unit employing 1,200 people—to ASC Investment, a Luxembourg- and Munich-based private investment firm specializing in corporate carve-outs and operational turnarounds.

The proposed deal marks a decisive shift for Continental Tyres France: from a hybrid “company-owned plus franchise” model to a fully franchised network. Under the terms, all divested outlets will remain part of the BestDrive brand ecosystem through existing franchise agreements, ensuring brand continuity and customer experience consistency. Meanwhile, personnel managing the franchise system and fleet partnerships will be reintegrated into Continental’s French market and sales division, preserving strategic oversight of core commercial relationships.

This isn’t a retreat—it’s a recalibration. By offloading direct retail operations, Continental sharpens its focus on what it does best: manufacturing world-class tires and delivering B2B solutions. The company will continue empowering independent entrepreneurs through its BestDrive franchise platform, now bolstered by three key pillars: the high-value Barum and Semperit private-label product lines, a future-ready digital service suite, and an extensive nationwide network for fleet customers. With over 200 BestDrive locations already active across France, the stage is set for agile, locally driven growth.

For ASC, the opportunity lies in unlocking operational potential. Known for its hands-on approach to post-acquisition value creation, the firm plans to transform the acquired assets into an independent, high-efficiency service entity, enriching product offerings and elevating service standards for both individual motorists and commercial clients. Critically, ASC intends to retain the existing management team and leverage their deep market knowledge, signaling confidence in the business’s foundational strengths.

The transaction, however, is not yet final. It remains subject to consultation with France’s employee representative bodies (CSE) and approval by Continental’s Supervisory Board—standard but essential steps in the German corporate governance framework. Financial terms remain undisclosed, in line with both parties’ preference for discretion.

This move reflects a broader trend in the automotive aftermarket: global OEMs are increasingly stepping back from capital-intensive retail operations to concentrate on brand stewardship, technology enablement, and partner ecosystems. By entrusting day-to-day store management to a specialized investor like ASC, Continental gains flexibility, reduces fixed costs, and accelerates market responsiveness—all while keeping the BestDrive name firmly anchored in the French mobility landscape.

In essence, Continental isn’t exiting France—it’s franchising its future. And with ASC at the wheel of the retail arm, that future may just run smoother, faster, and more profitably than ever before.