Koch to buy fiber source Invista from DuPont for $4.4B
By Carole Sloan -- Furniture Today, November 30, 2003
Wichita, Kan. — Koch Inds. has reached a definitive agreement to acquire fiber supplier Invista, formerly DuPont Textiles & Interiors, from DuPont for $4.4 billion in cash.
The purchase includes all of Invista's businesses, including interiors, apparel, industrials and intermediates, and a lineup of trademarks and brands that includes Lycra, Stainmaster, Coolmax, Thermolite, Cordura, Supplex, Tactel, Antron, DBE, C12 and others.
Invista will continue to license the Teflon brand from DuPont and will continue to have non-exclusive marketing rights to DuPont's Dacron polyester filament.
The purchase will take DuPont, the developer of nylon, acrylic and spandex, out of the fiber business.
Koch said it will merge its KoSa business and its subsidiaries into Invista. Koch and then-joint venture partner Saba bought the Trevira polyester business from Germany's Hoechst in December 1998 and formed KoSa. KoSa's polyester products include the home furnishings brands Accepta Easy Dye, Loftguard, Serene, Serell, Microlux and Avora FR flame-resistant fabrics, as well as cationic and solution dyed fibers.
Invista had sales of $6.3 billion in 2002 and, with KoSa, the combined fiber businesses will have sales of more than $9 billion.
The deal is expected to be completed in the first half of 2004. The new company will be an independent subsidiary of Koch, managed by its own board of directors.
Jeff Walker, a 19-year Koch veteran, will become chairman of Invista's board and chief executive officer. Invista's current president, Steve McCracken, will serve on the board, remain president and also become chief operating officer.
The Invista board also will include Koch executives Charles Koch, chairman and CEO; Joe Moeller, president and COO; Bill Caffey and Rich Fink, executive vice presidents; Steve Fellmeier, chief financial officer; and John Pittenger, senior vice president.
George Gregory, president and CEO of KoSa B.V., will become an Invista senior vice president, reporting to Walker.
"This acquisition is an excellent fit with our capabilities and vision for long-term growth," said Charles Koch. "By combining Invista's many capabilities and strong brands, primarily in nylon and spandex, with the polyester businesses of our KoSa subsidiaries, we will create a diverse company, well positioned to compete in the global fibers and resins markets."
Fabric Editor Susan M. Andrews contributed to this story.
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McCracken steps down at Invista
Feb 1, 2004 -
Invista, KoSa combo ups competitiveness
Dec 14, 2003 -
DuPont taps McCracken
May 11, 2003
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