NZ Yarn acquires Christchurch Yarns

NZ Yarn acquires Christchurch Yarns

In a joint release, NZ Yarn and the Receiver for Christchurch Yarns have today announced the NZ Yarn offer has gone unconditional in acquiring the business of
Christchurch Yarns.

Elders Primary Wool (EPW) has secured a majority shareholding in the acquiring business NZ Yarn and the remaining shareholding will be held by Primary Wool Cooperative (PWC) and growers.

The Receiver, Andrew Oorschot of Ashton Wheelans confirmed the sale has gone unconditional. “I am delighted that the sale has been confirmed and the business will continue to operate as a going concern, providing ongoing employment opportunities for those working at Christchurch Yarns and ongoing supply for its loyal customer base.”

The deal will be settled on 21 November 2014. Whilst the acquisition has gone unconditional, NZ Yarn will continue to seek grower investment up until 19 November 2014.

“This is a great outcome for both Christchurch Yarns and the future of the New Zealand wool industry” said EPW Chairman Stu Chapman. “It was imperative that the business remained an independent, fully operational New Zealand yarn spinner.

The onshore and offshore commercial opportunities this acquisition brings are substantial for EPW, the Just Shorn programme and the New Zealand wool industry.”

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