British Vita has abandoned plans to sell its Libeltex nonwovens business after deciding the group can add greater value as a part of the company. As part of this retention strategy, British Vita has initiated a program of investing in the people and production capabilities needed to ensure the company maintains is position at the forefront of the European nonwovens industry. The business will retain its autonomy as a wholly owned division of British Vita.
British Vita initially announced plans to divest Libeltex in November 2005 including the division’s manufacturing facilities in France and Belgium. The conglomerate’s other two nonwovens companies, Vita Nonwovens in the U.S. and Vitafibres in the U.K., were not to be affected by the sale.
In 2004, Bitish Vita’s nonwovens division grew its volumes 5% but currency fluctuations and tighter margins caused its sales to decrease 1% to £92.9 million.