GHCL acquires Best for $35 mn

NEW DELHI: GHCL has acquired US based home textile company Best Manufacturing Group for $35 million. The New Jersey based company manufactures and distributes home textile and accessories for the hospitality and healthcare sector in the US.

It has revenues of about $160 million. GHCL, a Sanjay Dalmia group company, had earlier acquired one of the divisions of the Best Manufacturing Group.

Best Manufacturing has satellite operations spread across Canada, Mexico and Asia. It has two manufacturing plants, one each in Cambodia and Mexico along with eight warehouses in the US.

The acquisition would be through an international subsidiary GHCL Inc. The acquisition would be funded through existing lenders of Dan River, another US based textile company which was acquired by GHCL last year.

With the acquisition of Best the revenues of Dan River will go up from $250 million(which includes the recent acquisition of HW Baker division of Best Manufacturing) to $ 400 million.

According to Sanjay Dalmia, chairman of GHCL Ltd, "With the acquisition of Best Manufacturing Group, Dan River is the only company in the world which will cater to all the three segments— retail chain in the US, hotel & restaurant industry and hospitality industry." He added, "We are soon going to expand the operations of all the three sectors."

This would be GHCL’s third acquisition in US and fifth globally over the last two years.