OC Oerlikon Management AG, Switzerland, has agreed to sell the Natural Fibers and Textile Components business units of its Textile Segment to Jinsheng Group, China. The deal, based on an enterprise value of 650 million Swiss francs, is expected to close in the third quarter of 2013.
Oerlikon will retain the Textile Segment's man-made fiber business, which offers higher margins and less cyclicality than the other two businesses, the company reports. That business will account for some 33 percent of total group sales going forward.
The Natural Fibers and Textile Components businesses, which in 2011 realized sales totaling 1.1 billion Swiss francs and has 3,800 employees, will be renamed Saurer Group. The current management team of the two businesses will continue to lead the operations, with Textile Components CEO Daniel Lippuner serving as CEO of Saurer.
