Itochu Corporation announced its participation, by capital investment, in the acquisition of The Lycra Company (headquartered in Delaware, U.S.) by its capital alliance and business partner Shandong Ruyi Science and Technology Group (based in Shandong, China).
Itochu will work in conjunction with Shandong Ruyi to further increase the corporate value of Lycra, and maximize collaborative synergies.
Lycra was established as the result of carving out the apparel and advanced textile operations of American textile giant Invista. In Shandong Ruyi’s acquisition of Lycra, the group requested for Itochu to make a joint investment, and Itochu decided to participate in the acquisition on this occasion in view of the various business synergies which are anticipated as a result of the investment, including the development of environment-friendly materials and expansion of the initiative business.
Itochu regards its involvement in the acquisition of Lycra as an investment that will contribute to the improvement and enhancement of its portfolio of competitive materials; following on from its development of environment-friendly cellulosic fibers in collaboration with the Metsa Group and recycled polyester business utilizing technologies developed by Jeplan, Inc.