FIN.PART CATCHES FRISBY: TAKES 19% STAKE
Byline: Joshua Greene
New York – Italian luxury conglomerate Fin.part SpA last week bought a 19 percent stake in Frisby Technologies Inc., maker of the performance fabric Comfortemp.
Frisby’s principal stockholders now include chairman and chief executive officer Greg Frisby and his brother Jeffry, with 27.7 percent combined; Musi Investments SA, with 22 percent, and Milan, Italy-based Finpart.
“We expect to benefit from Fin.part SpA’s business experience within our key target markets,” said Greg Frisby. “The Fin.part companies could become large users of Comfortemp-branded materials.”
Fin.part’s chairman and ceo, Gianluigi Facchini, said he is looking to use Frisby materials in the Moncler and Henry Cotton’s brands.
The deal was structured as a dept conversion Musi converted the principal and accrued interest on its $1.5 million convertible term loan to Frisby into 1,400,123 shares of common stock, eliminating most of the Winston-Salem, N.C. based textile company’s debt. It then sold 1,716,327 shares to Finpart International SA, a subsidiary of Fin.part, a $300 million company that also owns Cerruti and Frette.
Frisby shares rose 12 cents to close at $2.20 on the Nasdaq SmallCap market Monday.