The INACSA yarn business and assets are expected to support continued growth of Naia cellulosic yarn for the apparel market and will become part of the global Fibers segment supply base.
“With the acquisition of INACSA, Eastman gains a well-respected yarn producer and a European site that will enhance our ability to support the global textiles supply chain,” said Brad Lich, executive vice president and chief commercial officer. “We look forward to welcoming the INACSA employees to the Eastman team.”
Subject to the receipt of required regulatory approvals and satisfaction of other customary closing conditions, Eastman will acquire the entire yarn business and assets from INACSA, including the plant and assets in La Batllòria, Spain; formulations and intellectual property; and customer contracts. The acquisition is expected to be completed in the third quarter of 2019. Terms of the transaction were not disclosed.
“This bolt-on acquisition is consistent with the company’s growth strategy and objective of delivering superior value through disciplined and balanced uses of cash for dividend payments, debt repayment, share repurchases, and organic and inorganic growth initiatives,” Lich added.
Eastman, based in Kingsport, is a global specialty materials company that produces a broad range of products found in items people use every day. Eastman employs approximately 14,500 people around the world and serves customers in more than 100 countries. The company had 2018 revenues of approximately $10 billion.