Unifi Inc. agreed to sell land and warehouse space in Yadkin County, North Carolina for approximately $60 million before fees and expenses.
The fiber producer, including the Repreve brand, includes “non-strategic real estate assets,” including approximately 120 acres of land and 500,000 square feet of warehouse space across two separate operating locations in Yadkin County. The transaction is expected to close in the company’s second fiscal quarter, unless extended by the parties, subject to satisfaction of certain closing conditions.
“This transaction demonstrates our focus on optimizing the efficiency of our U.S. business and makes Unifi a leaner and more profitable organization,” said Eddie Ingle, Chief Executive Officer of Unifi, Inc. “Working with the buyer, we were able to identify portions of our real estate portfolio that would be most beneficial to a new owner while being least impactful to our ongoing operations and production capacity. This carve out of assets is expected to have minimal operational impact to our business and create no downtime in our daily processes. Our U.S. based operations will maintain their current production capacities and there will be no changes to how we service our customers out of Unifi’s Yadkin County campus. Upon closing this transaction, Unifi would retire a substantial amount of debt and significantly improve its financial flexibility.”
Unifi’s brand partners include Nike, Lovesac, The North Face, Reformation, Asics, Beyond Yoga, J.Crew, Levi’s and New Era.
Image courtesy Unifi
