INVISTA announces plans to divest nylon fiber business

On April 9, nylon 66 and polypropylene manufacturer Invista announced that it planned to divest its nylon fiber business. The specific details and process of the transaction were not disclosed.

According to INVISTA’s announcement, the assets divested include airbag fiber, industrial yarn, and CORDURA® (high-performance fabrics) businesses.
And factories related to the above business: Seaford Factory in Delaware, USA, Martinsville Factory in Virginia, USA, Kingston Factory in Ontario, Canada, Gloucester Factory in the UK and Qingpu Factory in Shanghai, China.

Fang Siqi, Chairman and CEO of INVISTA, said, “Nylon fiber is a very good business segment, and companies with different focuses and capabilities can empower this business to create greater value.
If after this process other companies are unable to come up with a higher valuation, we will continue to operate the business. "

INVISTA said that if the divestment plan proceeds smoothly, it will simplify its main business and strengthen its focus on the long-term competitive position of its upstream nylon and propylene businesses.

However, INVISTA believes that the nylon fiber business is an important business segment of INVISTA, and it is too early to predict the final results of this possible transaction.