Home / Knowledge / News / Textiles / Chinatex to acquire stake in Hong Kong's Fountain Set
Chinatex to acquire stake in Hong Kong's Fountain Set
07
Apr '12
Chinatex Corp, a Chinese state-owned enterprise, will procure a majority stake in Hong Kong-based knitted fabric producing firm Fountain Set (Holdings) Limited.

Fountain Set, the firm established by the Ha Chung-fong family in 1969, would sell its 409 million new shares worth HK$ 511.3 million to the Chinese conglomerate, the country's biggest cotton trader.

Post acquisition, Chinatex would have a 34 percent stake in Fountain Set, while Ha family's holding would reduce from the current 43.28 percent to 28.56 percent.

Fountain Set is a leading producer of circular knitted fabric and it caters to fabric needs of garment firms in 40 nations.

The firm made HK$ 7.6 billion in revenues during the year ended August 31, 2011. However, it anticipates the ongoing financial year to be a challenging one due to sluggish demand from North America and Europe.

The company is now planning to shift its focus to the mainland market.

Fountain Set proposes to use a minimum 60 percent of the sales proceeds received from Chinatex for repayment of its bank loans.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 9th Dec 2016

‘Less demand may make it hard to achieve export target’

The $48 billion target for textiles and garment exports for 2016-17...

Courtesy: Gucci/Pantone

Textiles | On 9th Dec 2016

Pantone announces greenery as colour of the year 2017

Pantone, an X-Rite company and the global authority on colour and...

Textiles | On 9th Dec 2016

Heimtextil to host 230 exhibitors from 28 countries

Close to 230 exhibitors from over 28 countries are expected to...

Interviews View All

Pratik Bachkaniwala
Palod Himson Machines

Fabric processing machines are picking up

Angelina Francesca Cheang
MY ANJE

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Claudia Kersten
Global Organic Textile Standard

‘GOTS is a very efficient supply chain management tool, especially for...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
December 2016

December 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


Advanced Search