Coats will sell EMEA Crafts to Aurelius Group (investment company), subject to a number of conditions, and is expected to complete the deal in the second quarter of this year, it said in a statement. The proceeds will go towards general corporate purposes.

"The agreement to sell EMEA crafts follows a comprehensive review of the business, including its strategic fit within Coats," commented Chief Executive Paul Forman. "The decision to sell the EMEA crafts business better positions Coats for future profitable growth and allows us to focus management attention on our high performing global industrial and strong Americas crafts businesses."

Coats' EMEA Crafts business is one of the number one players in European textile crafts with a history dating back more than 250 years. The sale will enable Coats to focus on further growing its successful global industrial and profitable Americas Crafts businesses.

Aurelius is experienced in complex corporate carve-out situations and focus on businesses with operational improvement potential. The company's operational experts will be dedicated to give the EMEA Crafts business the undivided attention it requires, and support the existing management team with the move towards an independent and more flexible enterprise.

Crafts brands included in this acquisition are Schachenmayr, Patons, Regia, Rowan yarns, Milward, Puppets, Corona, Self Casa, Tre Cerchi and Royal Paris. Aurelius will also sell other Coats-owned brands in Europe under licensing and distribution agreements, which will also cover the 'Make it Coats' brand and European Coats Crafts website content.

Posted: 20 February 2015

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