Monomoy and Kingsmoor Acquire Denim Manufacturing Division of the PCCA
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Monomoy and Kingsmoor Acquire Denim Manufacturing Division of the PCCA

PCCA Nf1Monomoy Capital Partners and Kingsmoor have partnered to acquire the denim manufacturing operations of Plains Cotton Cooperative Association (PCCA) through American Textile Holdings (AmTex), a newly-created acquisition vehicle.

AmTex is a designer and manufacturer of both denim fabric and denim apparel products. The company converts raw cotton into denim fabric at the ACG (American Cotton Growers) textile mill located in Littlefield, Texas and converts denim fabric into finished jeans at the Denimatrix cut, sew and laundry operation located in Guatemala City, Guatemala. AmTex has over 2,400 employees at its two facilities and runs one the largest denim manufacturing operations in the Western Hemisphere. The Plains Cotton Cooperative Association is based in Lubbock, TX (www.pcca.com).

Today’s transaction with PCCA will allow AmTex to operate as a standalone business focused exclusively on innovative development, fabrication and sales in the denim sector. “We thank our friends at PCCA for the extraordinary amount of effort they have put into completing this complex transaction,” said Eric Ceresnie of Monomoy Capital Partners. “We look forward to working with the PCCA team over the next few months as we transition AmTex to an independent, entrepreneurial enterprise.”

“We are excited to create AmTex and purchase these impressive denim assets in Texas and Guatemala,” said Robert Fowler, a partner at Kingsmoor and the new Chief Executive Officer of AmTex. “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.”

Monomoy Capital Partners makes control investments in middle market businesses with $50 million to $500 million in annual sales. Sectors of interest include manufacturing, distribution, consumer product and foodservice industries. Monomoy made its investment in AmTex through its second fund vehicle, Monomoy Capital Partners II, LP.  The firm has $700 million in assets under management and is headquartered in New York (www.mcpfunds.com).

The Pine Hill Group (www.thepinehillgroup.com) and KPMG performed financial, accounting and tax diligence for Monomoy and Kingsmoor.

2014 PEPD • Private Equity’s Leading News Magazine • 6-9-14

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