LONDON — Chinese textiles, manufacturing and retail giant Shandong Ruyi has purchased Invista’s Apparel and Advanced Textiles business, renaming it The Lycra Company, after the company’s most popular fiber.
Invista and Shandong Ruyi had begun negotiations in November 2017. Financial terms of the deal were not released.
“We are thrilled to acquire The Lycra Company and will continue to invest in its innovation pipeline and brands in order to reach our objectives for business growth. As a spandex producer ourselves, we have admired the iconic Lycra brand for years and we see the value The Lycra Company adds to our business,” said Yafu Qiu, chairman of the board of Shandong Ruyi Investment Holding.
The acquisition includes all assets, such as eight manufacturing facilities, four research-and-development labs, and its stable of consumer and trade brands, including Lycra, Coolmax, Thermolite and Supplex.
“We believe its assets and capabilities are a perfect complement to our own and will help strengthen our position as a world-class, fully-integrated textile company,” Qiu added.
As a subsidiary of the Shandong Ruyi group, The Lycra Company will continue producing advanced fibers and technology solution for the apparel and hygiene industries.
Since 2016, Shandong Ruyi has been expanding its portfolio and acquired several major brands. In October 2016, the Chinese company purchased a majority stake in SMCP Group, the parent company of fashion labels Sandro, Maje and Claudie Pierlot, with plans to fuel global expansion. The deal was estimated at 1.3 billion euros, including debt.
In February 2018, Shandong Ruyi acquired a majority stake in Bally, citing it as “one of the most important luxury shoe and leather accessories brands.” Terms of that deal were not disclosed.