WestPoint Home To Acquire Manama Home Textile Assets
WestPoint Home Inc., West Point, Ga., has signed a letter of intent to acquire the home textile
assets of Bahrain-based Manama Textile Mills W.L.L., currently a supplier of bedding products to
WestPoint Home. The planned acquisition of the vertical bedding operation is part of WestPoint
Home's strategy to establish overseas manufacturing capabilities, according to Joseph Pennacchio,
"Bahrain has a stable economic and political environment and provides a low-cost platform that will allow us to compete anywhere in the world," Pennacchio said.
"The free trade agreement between the [United States] and Bahrain, which eliminates duties on textile products produced in Bahrain, is an additional benefit of this acquisition.We have an excellent relationship with WestPoint Home, and I am pleased to have reached this letter of intent with a company of their caliber for our home textile operations," said Hamid Nishat, CEO, Manama. Nishat noted Manama has made substantial investments in its bedding operation in recent years, and said the company will now focus on developing and expanding its denim business.
In other news, Pennacchio said WestPoint Home's towel operation in Lahore, Pakistan, is on track to be operating at full capacity in the first half of 2007.