Sun Capital Could Spend $70 Million for InterfaceFABRIC

June 21, 2007  by in UnCategorized   

By Home Furnishings Business in on June 2007 In a deal worth as much as $70 million, floorcoverings and fabrics manufacturer Interface Inc., Atlanta, announced Wednesday that it will sell its fabrics division to an affiliate of Sun Capital Partners, Boca Raton, Fla., a private investment firm with a large and growing presence in home furnishings.

The division, known as InterfaceFABRIC, is a leading producer of interior fabrics and upholstery products, which it markets under the Guilford of Maine, Chatham and Terratex brands, and provides specialized automotive textile solutions.

According to the terms of the agreement, Interface will receive approximately $63.5 million in cash proceeds at the closing of the transaction, with potential for an additional $6.5 million in cash proceeds, subject to the division meeting certain performance metrics over the subsequent six to eighteen months period.

The transaction is expected to close during the third quarter, subject to regulatory review and other customary closing conditions.