Texhong has bought over Winnitex and formed a new joint venture company named Texhong Winnitex. Texhong is a textile group and one of the world’s largest core spun yarn suppliers. Winnitex is a renowned leading group in dyed woven fabrics. It has a long track record of direct sales to large international fashion and workwear brands and is well-known for its service, quality, reliability and innovation within the textile industry.

The reorganisation will lead to the establishment of a global vertically integrated industrial chain for Winnitex’s dyed woven fabrics business, and the group can also leverage its strategic advantages in Vietnam and the tax-free zone in Nicaragua to generate tremendous synergies. The entire business of the Winnitex group and the group’s existing weaving and dyed woven fabrics businesses in Vietnam and Nicaragua will be integrated under Texhong Winnitex.

This transaction will enable Texhong Winnitex to leverage its experienced management team and extensive customer base, and significantly increase its annual production capacity of dyed woven fabrics by 90 million yards. The joint venture is expected to lead to an increase in the scale of production in Vietnam and Nicaragua. The vertical integration of the spinning, weaving and dyeing activities is expected to establish a new milestone for the group’s dyed woven fabrics business.