WL Ross Delivers Winning Bid To Purchase Burlington
WL Ross DeliversWinning Bid To Purchase Burlington
An offer by WL Ross & Co. LLC, New York, has emerged as the highest and best bid in an
auction for the assets of Greensborobased Burlington Industries Inc. WL Ross bid of $614 million
in cash was approved by the U.S. Bankruptcy Court in August. Burlington has incorporated the
acquisition into its plan of reorganization and expects the deal to close in October.Burlington
filed for Chapter 11 bankruptcy protection in late 2001. After selling off or closing unprofitable
operations, it was ordered to auction off its remaining businesses.The winning bid provides for the
concurrent sale by WL Ross of Burlingtons Lees Carpets division to Mohawk Industries Inc.,
Calhoun, Ga.. WL Ross will retain ownership of Burlingtons Apparel Fabrics and Interior Fabrics
divisions, and Hong Kong-based Burlington Worldwide Ltd., its licensing, sourcing and marketing
arm; as well as Burlingtons majority interest in Greensboro- based Nano-Tex LLC.Our interest in
Burlington is in its name, its reputation for quality, integrity, strong people culture, and its
potential to be a leader in the global textile market, said Wilbur L. Ross, chairman,WL Ross,
speaking to Burlington management."Other than Lees Carpets, which
is being acquired by a
wonderful strategic fit, Mohawk, our present ] thought is to maintain every Burlington business
that has realistic prospects for viability.
Fall 2003