Israeli nonwovens producer Avgol has confirmed that it has made contact with Blackstone Group, the private equity owner of fellow nonwovens producer Polymer Group Inc., but said plans for an acquisition or merger is not near.
“The company wishes to clarify that it examines opportunities for merger and/or acquisition transactions and/or business cooperation with various parties from time to time. Within this context, initial contacts are being made with the Blackstone Investment Fund, which at this stage, have neither developed into negotiations or details for a transaction, nor is there any certainty that these contacts shall develop into a transaction,” the company said in a written statement.
Adding that the company would issue a further report if any deal materializes, Avgol issued the statement following media reports it was meeting with Blackstone. A publicly traded company, Avgol is based in Tel Aviv and has manufacturing sites in North Carolina, China and Russia. Sales in 2010 were about $277 million.