Amoco Fabrics and Fibers to Sell Fibers and Yarns Business

08/27/99 - Amoco Fabrics and Fibers Company (AFFC) today announced that, subject to the completion of due diligence, it has agreed to sell its Fibers and Yarns business assets to Monitor Clipper Partners (MCP). The asset value of the transaction is approximately US $100 million.

AFFC and Monitor Clipper Partners expect to complete the transaction at the end of October. The Fibers and Yarns business manufactures polypropylene yarn and staple fibers used in home furnishings (such as residential and contract upholstery), automotive interiors, apparel, and industrial applications, as well as a high-performance fiber for hot-gas filtration. The business is headquartered in Greenville, SC and employs about 1,000 people, with manufacturing facilities in Afton, VA; Rocky Mount, NC; Spartanburg, SC; and Bainbridge, GA. AFFC’s other manufacturing facilities at Bainbridge are not included in the sale of the Fibers and Yarns assets.

“Fibers and Yarns is a very good business with many growth opportunities,” said Pete Cella, AFFC president. “However, AFFC is looking to focus on our core business – woven and non-woven polypropylene fabrics – to further strengthen our competitive position and offering to customers. While AFFC is the leading manufacturer of polypropylene fibers and yarns, we expect the business will be in a better position to capture those growth opportunities in an organization focused solely on fibers and yarns.”

“Fibers and Yarns represents an ideal investment opportunity for MCP” said Bill Young, a Managing Director. “The business has leadership positions in the home furnishings and automotive markets with substantial potential for future growth. MCP will bring capital and management support to enable the Fibers and Yarns business to reach its full potential. We are delighted to be moving forward with this investment.”

Monitor Clipper Partners is a $625 million private equity fund based in Cambridge, Massachusetts. MCP was founded by a group of professionals from Monitor Company, Inc., a repidly growing international strategy consulting firm and from The Clipper Group, a private equity firm prefiously based in New York.
Amoco Fabrics and Fibers Company, a leading manufacturer of woven and non-woven polypropylene fabrics, is based in Atlanta, Georgia, and is part of the BP Amoco group.

For more information contact AFFC public affairs director John Curry at 770-576-3084, or Bill Young at 617-252-2200.