Plains Cotton Cooperative Association (PCCA), one of the largest U.S. cotton merchants, announced Wednesday that it has sold its denim mills–which supply product for brands like Wrangler and Levi Strauss & Co.–to American Textile Holdings, LLC, (AmTex).
AmTex will take over all the operations of the American Cotton Growers (ACG) denim mill in Littlefield, Texas and Denimatrix S.A. in Guatemala City, Guatemala.
New York-based private equity fund Monomoy Capital Partners and investment company Kingsmoor LLC teamed up to acquire PCCA’s denim manufacturing operations through AmTex, a newly created acquisition vehicle. Terms of the sale were not disclosed.
AmTex manufactures both denim fabric and denim apparel products. The company converts raw cotton into denim fabric at the ACG mill and converts denim fabric into finished jeans at the Denimatrix cut, sew and laundry operation.
Robert Fowler, a partner at Kingsmoor and the new chief executive officer of AmTex, said, “Denimatrix and ACG offer their customers unsurpassed quality, value and proximity in a denim manufacturing sector that is currently migrating from Asia to the Americas. With our partners at Monomoy, we will expand the company’s capabilities and work with our customers to bring fashion-forward products to market through the most efficient supply chain in the industry.”
PCCA president and CEO Wally Darneille said, “PCCA looks forward to refocusing our efforts on our core businesses of cotton marketing, warehousing and software services for our members and customers.”