Shares of Indo Count Industries Ltd were trading 3% higher on 17 September after the company announced that its US subsidiary has acquired Fluvitex USA, Inc, which is a part of Masias Invest SL. 

In its regulatory filing, Indo Count Industries described the acquisition as a “strategic move” that will expand and fortify its utility bedding business. However, the company has not disclosed the transaction value of this acquisition. 

A definitive agreement has been executed by Indo Count Global, Inc. (ICG), a 100% US-based subsidiary of Indo Count, to purchase an 81% ownership in Fluvitex USA, Inc. from its promoter shareholder, Masias Invest, SL.

It further stated that there is a option to acquire the remaining 19% stake by 30 September 2029.

“The acquisition is funded by internal accruals and debt,” the statement said.

Based in Columbus, Ohio, Fluvitex is a manufacturer of pillows and quilts with a yearly production capacity of 1.5 million quilts and 5 million pillows of various kinds.

Fluvitex’s strategic location allows efficient distribution across the USA and Canada with a revenue potential of USD 50 million plus.

According to Mohit Jain, Executive Vice Chairman of Indo Count, the acquisition has allowed the business to provide a wide variety of bed linen products to the sizable North American market, such as pillows, quilts, decorative pillows, and other fashion-led items.

Mohit added, “Acquiring Fluvitex is a critical move as it allows Indo Count to establish a fully integrated utility bedding business in the USA. Fluvitex’s state-of-the-art manufacturing facility and its strategic location will significantly enhance our ability to serve North American customers with a broader product range.”

Wamsutta is a well-known international home textile brand that was purchased by Indo Count Industries’ US-based subsidiary from Beyond Inc. in April of this year for a total cash purchase of $15.25 million.

At 11:44 am, the shares of Indo Count were trading 1.57% higher at Rs 407.60 on NSE.

Discover the next big investment! Unicorn Signals’ IPO screener helps you identify promising initial public offerings. Download Unicorn Signals and get ahead of the curve! Sign Up Now & Find Your Next IPO Gem!