Koch completes acquisition of Invista textile business

Wichita ? DuPont Co. has finalized the $4.2 billion sale of its Invista textile business to subsidiaries of Koch Industries Inc., the companies said Friday.

“It is the biggest acquisition in Koch’s history, and there is definitely excitement,” said Koch spokeswoman Mary Beth Jarvis.

Formerly Dupont Textiles and Interiors, Invista is the world’s largest integrated fiber and intermediates business, employing 18,000 workers. Its better-known brands and trademarks include Lycra, Cordura and Stainmaster.

Koch has said it planned to combine into the revamped Invista some 5,000 workers from its own KoSa subsidiary.

“We believe that this combination of Invista’s strengths, primarily in nylon and spandex, and KoSa’s polyester capabilities will position us to compete successfully in the global resins and fibers markets,” Jeff Walker, Invista’s chief executive, said.

DuPont’s sale of Invista is part of a companywide restructuring that’s followed years of decline in the U.S. textile and apparel industries. The sale to Koch’s KED Fiber Ltd. and KED Fiber LLC includes assumption of debt and certain joint venture and equity interests.

Invista will be headquartered in Wichita, where Koch Industries is based. The move will bring about 200 jobs to the city.

Charles O. Holliday Jr., DuPont’s chairman, said the company looked forward to continuing a relationship with Invista as a key supplier.

The Invista purchase is the latest deal in a long list of acquisitions made by privately-held Koch Industries Inc.:¢ In January, Koch subsidiary KoCell signed a letter of intent to buy Georgia-Pacific Corp.’s pulp operations for $610 million. The deal would include mills in Brunswick, Ga., and New Augusta, Miss., along with a short-line railroad serving the Mississippi mill.¢ In May 2003, Koch Nitrogen Co. bought the bulk of bankrupt agriculture cooperative Farmland Industries Inc.’s nitrogen fertilizer manufacturing and distribution assets for $293 million.¢ In July 2003, Koch subsidiary Flint Hills Resources purchased a 50 percent interest in Excel Paralubes, which manufactures motor oil in Lake Charles, La. Terms were not disclosed.¢ In November 2002, Koch Business Holdings paid $295 million to boost its share in Atlanta-based Colonial Pipeline Co., the largest volume transporter of refined petroleum products, to 25.27 percent.