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Knitting / Apparel

Tarrant Apparel Completes Mexican Mill Acquisition

Los Angeles-based Tarrant Apparel Group has completed the acquisition of a twill mill facility from Mexico-based companies Trans Textil International S.A. de C.V. (Trans Textil) and Inmobiliaria Cuadros S.A. de C.V. (Cuadros).

The purchase price included 100,000 shares of a new, non-voting Series A Tarrant Apparel preferred stock; a 25-percent equity stake in Tarrant Mexico S. de R.L. de C.V., a wholly owned Tarrant subsidiary; cancellation of $56.9 million of certain notes and accounts receivables due from sellers and their affiliates; and a cash payment of $500.

February 2003