Posted October 24, 2016
GREENSBORO, N.C. – International Textile Group, Inc. (ITG) announced today that it has been acquired by Platinum Equity through a completed merger with an affiliate of Platinum Equity.
In the merger transaction, a newly formed Platinum Equity affiliate merged with and into ITG, with ITG continuing as the surviving corporation and as a privately held Platinum Equity portfolio company. ITG’s common stock has ceased to be publicly traded, and former ITG stockholders will receive information from Continental Stock Transfer & Trust Company, the paying agent in the merger, on how to receive the cash consideration for their shares of ITG common stock, in the near future.
In order to complete the merger transaction, Platinum Equity acquired all of the debt and equity securities of the company previously owned by entities managed by WL Ross & Co. LLC and its affiliates.
The merger transaction and related agreements were entered into following the approval of ITG’s board of directors, based upon the recommendation of an independent special committee, along with its independent legal and financial advisors, which negotiated the terms and conditions thereof.
WL Ross & Co. sells
International Textile Group acquired by Platinum Equity
Photo by Devin Steele
In January 2005, New York investor Wilbur Ross addressed the Southern Textile Association during its annual Winter Technical Conference in Belmont, N.C. The year prior, his company, WL Ross & Co. LLC had bought Burlington Industries and Cone Denim and combined them to form International Textile Group.
Kenneth T. Kunberger, president & CEO of International Textile Group, continues in his role under the new ownership.
“This is an exciting time for ITG,” Kunberger said. “We believe Platinum Equity and ITG’s goals and strategies are well aligned and provide a strong foundation on which to further leverage ITG’s performance innovations and brand heritage across our global markets. We look forward to many opportunities ahead.”
Additional information regarding the merger and related transactions will be contained in the company’s Current Report on Form 8-K relating thereto, expected to be filed with the U.S. Securities and Exchange Commission on the date hereof.
In 2004, New York-based turnaround financier Wilbur Ross bought troubled Burlington Industries and Cone Mills and combined them to form International Textile Group. Dubbed “the King of Bankruptcy” by Fortune Magazine in 1998, he has made a name in distressed assets investments.
Beverly Hills, Calif.-based Platinum Equity was founded by billionaire Tom Gores, who owns the NBA’s Detroit Pistons.
About International Textile Group
ITG is a global, diversified provider of textile solutions across performance and specialty apparel fabrics, advanced uniform fabrics, technical commercial fabrics and engineered automotive components. Its businesses include Burlington, Cone Denim, Safety Components and Carlisle Finishing. The company employs about 4,800 people worldwide with operations in the United States, Mexico and China.
About Platinum Equity
Founded in 1995 by Tom Gores, Platinum Equity is a global investment firm with a portfolio of approximately 30 operating companies that serve customers around the world. Platinum Equity specializes in mergers, acquisitions and operations – a trademarked strategy it calls M&A&O® - acquiring and operating companies in a broad range of business markets, including manufacturing, distribution, transportation and logistics. Over the past 20 years, Platinum Equity has completed more than 185 acquisitions.
Source: ITG and staff sources