Home / Knowledge / News / Textiles / CRAiLAR plans to acquire European fiber dyeing facility
CRAiLAR plans to acquire European fiber dyeing facility
05
Sep '13
CRAiLAR Technologies Inc., which produces and markets CRAiLAR Flax fiber The Friendliest Fiber On The Planet, announced that it has executed a letter of intent ("LOI") to acquire a European fiber dyeing facility with more than thirty years of experience in the industry.

The acquisition, which is subject to the entry into definitive agreements and prior regulatory approval, would establish CRAiLAR flax fiber production for the Company in one of the most prolific flax growing regions in Western Europe.

The facility is currently capable of producing in excess of 250,000 pounds of CRAiLAR Flax fiber per week with room to expand. Under the terms of the LOI, CRAiLAR will acquire the facility by retiring approximately U.S.$1.2 million of the vendor's debt over a three-year period. Additionally, CRAiLAR will enter into a ten-year lease and option to purchase agreement on the building housing the facility with a renewal option for an additional ten years.

"We are thrilled by the prospect of having complete control of the CRAiLAR production process and, we believe, an immediate path to positive gross margin with no capital outlay," stated Ken Barker, Chief Executive Officer.

"Acquisition of this facility would accelerate our production timeline by six to nine months; eliminate construction risks inherent with a 'green field' project; and substantially reduce the capital required to achieve one million pounds per week of capacity. The plant is also is located in an area known for flax growing excellence, thereby providing an abundant source of feedstock, and ties in perfectly with our European flax fiber sourcing initiative."

The proposed establishment of a CRAiLAR wet processing facility in Europe is in addition to the longer-term plan to establish a fully integrated CRAiLAR facility at the Company's present site in Pamplico, South Carolina.

About CRAiLAR Technologies Inc.

CRAiLAR(R) Technologies Inc. offers cost-effective and environmentally sustainable natural fiber in the form of flax, hemp and other bast fibers for use in textile, industrial, energy, medical and composite material applications. Produced using a fraction of water and chemical inputs compared with other natural fibers, CRAiLAR Flax is the newest natural fiber introduction to the market in decades.

The Company supplies its CRAiLAR Flax to HanesBrands, Georgia-Pacific, Brilliant Global Knitwear, Tuscarora Yarns, Target Corp. and Kowa Company for commercial use, and to Levi Strauss & Co., Cintas, Carhartt, Ashland, PVH Corp., Cotswold Industries, Cone Mills and Lenzing for evaluation and development.

CRAiLAR Technologies


Must ReadView All

Textiles | On 25th Jul 2017

Global growth to pick up in 2017 and 2018: IMF

The pickup in global growth anticipated in the April World Economic...

Courtesy: Michael Kors

Fashion | On 25th Jul 2017

Michael Kors to acquire Jimmy Choo

Global fashion luxury brand Michael Kors Holdings Limited has reached ...

Apparel/Garments | On 25th Jul 2017

VF Corp posts $2.4 billion revenue for Q2 2017

VF Corporation has recorded revenue of $2.4 billion, up 2 per cent,...

Interviews View All

Subhashini Srinivasan
The S Studio

Ethnicwear market will see an upward trend if uniqueness and quality are...

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

C. Dhandayuthapani
Mag Solvics Pvt. Ltd

ITME 2016 exploited our full strength like never before

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Eric Scholler
Groz-Beckert

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

Steve Cole
Xerium Technologies

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

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

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

July 2017

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Thanks for your valuable feedback. Claim your free latest sustainability e-book.


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X