Welspun India Limited part of the 1 billion USD Welspun Group announces that it has acquired an 85 percent interest in CHT Holdings Limited, the ultimate holding company of the UK's leading towel brand Christy (together “Christy”), valuing Christy at GBP 15.6 mn (Rs 1326mn).
The existing Christy Management team will continue to own the remaining 15 percent of the Christy issued share capital and will operate Christy on a stand alone basis, with the exception of Rajesh Mandawewala (JT. MD of WELSPUN), who has been appointed Chairman of Christy by the Welspun board. As a consequence of the acquisition, Christy is a subsidiary of Welspun and all the current employees will continue with the same terms and conditions of employment.
From 1 April 2009, Welspun and the Christy Management shall be able to exercise a put/call option, calculated by a formula based upon FY08 and FY09 EBITDA, to buy/sell the 15 percent equity interest retained by the existing Christy management. Founded in 1851, Christy is the world's oldest towel manufacturer and is the UK's leading towel brand with an annual turnover of GBP 35mn (INR 3000m).
Christy invented the first loom to mechanically weave what remains today the basis of the modern towel and is the sole supplier of the world famous Wimbledon Championship tennis towel.
The 1 billion USD Welspun Group is one of the largest terry towel manufacturers in the world. Welspun India Limited (WELSPUN) which is a part of the Welspun Group started its activities in 1985 and since then has become the largest exporters of terry towels in Asia and the 4th largest in the world. Welspun India Ltd exports terry towels to reputed global companies. The plant is located in Vapi and at Anjar - Gujarat and has capacity of 31000 MTPA.
Christy is the UK's leading supplier of branded and private label towels, with a reputation for quality and service. It also sells high quality bed linen products. The company supplies to a wide range of retailers in the UK and overseas and also operates over 100 concessions and outlets throughout the UK. The company is located in Hyde, Cheshire, and employs 464 people. Its Managing director is Joel Rosenblatt.
marketing@alchempro.com
