DERRY Lycra-maker Invista is set to have a new Far Eastern owner.
Its US-based parent company has entered into an agreement with Shandong Ruyi Investment Holding in China to sell its apparel and advanced textiles business, one of Invista’s four major business units.
Completion of the deal is expected in the middle of next year, and it is subject to clearance from the relevant competition authorities. The purchase price is undisclosed.
Invista in Derry, once part of the DuPont group, produces Lycra from a manufacturing plant at Maydown.
It is uncertain at this stage how the existing employees in Derry will be impacted by any change of ownership (the overall Invista company has approximately 10,000 workers worldwide, including 3,000 in its apparels division).
Invista's chairman and chief executive Jeff Gentry said: “The apparel business has always been a strategic and valued part of our portfolio.
“We engaged the market because we want this business to be owned by the company that can create the greatest value for customers, employees and stockholders.
"In this case, we believe Shandong Ruyi Investment Holding has the knowledge and capability that will enable this business to thrive the most and succeed over the long term.”
But Invista will retain ownership of its nylon, polyester, polyols and licensing businesses and related brands, which includes its world-leading nylon intermediates business, its global nylon polymer and fibre portfolio, and widely recognised brands including Stainmaster and Antron carpet fibres and Cordura fabric.
“For nearly 80 years, we’ve delivered innovations to the nylon industry, including the most advanced adiponitrile technology in the marketplace, and we look forward to intensifying our focus on the nylon value chain,” Gentry added.
Invista has had a troubled last few years in Derry, and two years ago made nearly 50 staff redundant under a voluntary severance offer to improve the Maydown site’s productivity.
Ruyi is one of the largest textile manufacturers in China. Headquartered at Jining in Shandong - the home region of Confucius - it boasts some of the largest production lines and advanced technologies in China.
