Indo Count edges higher after acquiring pillow & quilt maker Fluvitex USA

Indo Count Industries added 1.75% to Rs 408.10 after the company said that its wholly owned subsidiary Indo Count Global has acquired majority stake of 81% in Fluvitex USA, Inc.

The agreement also grants Indo Count Global an exclusive option to buy the balance 19% stake within the next 5 years. i.e. by September 30, 2029. The acquisition is funded by internal accruals and debt.

The said stake in Fluvitex USA is being acquired from its promoter shareholder Masias Invest, S.L., a renowned Spanish textile machinery firm since 1944.

Fluvitex is a pillow & quilt manufacturing company based in Columbus, Ohio with an annual production capacity of 5 million pillows of different types and 1.5 million quilts. Fluvitexs strategic location allows efficient distribution across the USA and Canada with a revenue potential of more than USD 50 million.

 

The acquisition would provide Indo Count with a manufacturing footprint in the USA, thus enabling the company to offer a diverse range of bedlinen products, including pillows, quilts, decorative pillows and other fashion-filled products to the large North American market.

Mohit Jain, executive vice chairman, commented: Acquiring Fluvitex is a critical move as it allows Indo Count to establish a fully integrated Utility Bedding business in the USA.

Fluvitex's state-of-the-art manufacturing facility and its strategic location will significantly enhance our ability to serve North American customers with a broader product range.

This, along with the recent Wamsutta brand acquisition, represents a key milestone in Indo Count's strategy to build a globally comprehensive Bedding portfolio.

Indo Count Industries is the largest global home textile bed linen manufacturer.

The company's consolidated net profit rose 5.51% to Rs 77.80 crore on a 26.97% increase in sales to Rs 941.43 crore in Q1 FY25 over Q1 FY24.

Powered by Capital Market - Live News