Performance Fibers to acquire Invista´s European polyester yarn business

Richmond, Virginia -- Performance Fibers Holdings Inc. has signed a letter of intent to acquire Invista Resins & Fibers GmbH's German polyester yarn business.

The purchase would include both commercial and manufacturing operations in Germany. It is expected that the definitive purchase agreement -- terms of which were not disclosed -- will be signed in the coming weeks.

The acquisition would represent the third major expansion of the Performance Fibers´ business in the past year and is a key component of the firm´s growth strategy, the company said.

In August 2005, Performance Fibers announced the acquisition of the North American business of Diolen Industrial Fibers, Inc., a leading producer of high-tenacity polyester yarns used in a wide variety of technical applications and tyre reinforcement. In January 2005, the company announced a greenfield expansion of its existing manufacturing operations in China, strengthening Performance Fibers´ position as a leading supplier of industrial fibers in that country.

From Rubber & Plastics News (A Crain publication)