NEW YORK, May 11, 2012 /PRNewswire/ — KPS Capital Partners, LP (“KPS”) today announced that its portfolio company American & Efird Global (“A&E” or the “Company”) has acquired the outstanding two-thirds share ownership of A&E Sri Lanka and A&E Bangladesh (the “Joint Ventures”) from its two joint-venture partners, Brandix Lanka Limited and Brandot International Ltd. A&E now owns 100% of both businesses. Financial terms of the transactions were not disclosed.

A&E is the largest U.S. manufacturer and the world’s second-largest manufacturer and distributor of premium quality industrial sewing thread, embroidery thread and technical textiles. A&E thread is used by producers of apparel, automotive components, home furnishings, medical supplies, footwear and certain industrial products. A&E owns or operates 23 plants and employs 11,000 associates around the world directly or in partnership with joint venture partners. KPS acquired A&E from Harris Teeter Supermarkets, Inc. (NYSE: HTSI, formerly Ruddick Corporation) in November 2011.

Michael Psaros, a KPS Managing Partner, said, “Our objective is to make A&E the premier manufacturer of industrial thread globally. These two acquisitions strengthen A&E’s global footprint, significantly streamline and integrate A&E’s Asian operations, and positions A&E to benefit fully from the considerable growth in these local markets. We intend to grow A&E aggressively both organically and through acquisition.”

Fred Jackson, Chief Executive Officer of A&E, said, “Sri Lanka and Bangladesh are very important, high-growth markets for our Company over the long term, and we are tremendously excited about the opportunity to increase our presence in both countries. Our ability to take full control of the operations in Sri Lanka and Bangladesh will strengthen our unparalleled ability to provide our customers with the highest quality thread and consistently superior service throughout this strategic region.”

Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel to A&E and its affiliate and Goodwin Procter LLP served as legal counsel to Brandot International Ltd.

About American & Efird Global

American & Efird is the largest U.S. manufacturer and the world’s second-largest manufacturer and distributor of industrial sewing thread, embroidery thread and technical textiles, produced from natural and synthetic fibers. A&E thread is used by producers of apparel, automotive components, home furnishings, medical supplies, footwear and certain industrial products. A&E owns or operates 23 plants and employs 11,000 associates around the world directly or in partnership with joint venture partners.

Customers select A&E as the preferred choice for industrial sewing thread, embroidery thread and technical textiles because of A&E’s dedication to providing its customers with the finest products and services, at the highest quality, delivered globally. Learn more about A&E at www.amefird.com.

About KPS Capital Partners, LP

KPS Capital Partners, LP is the manager of the KPS Special Situations Funds, a family of private equity funds with over $2.8 billion of committed capital focused on constructive investing in restructurings, turnarounds and other special situations. KPS has created new companies to purchase operating assets out of bankruptcy; established stand-alone entities to operate divested assets; and recapitalized highly leveraged public and private companies. The KPS investment strategy targets companies with strong franchises that are experiencing operating and financial problems. KPS invests its capital concurrently with a turnaround plan predicated on cost reduction, capital investment and capital availability. Typically, the KPS turnaround plan is accompanied by a financial restructuring of the company’s liabilities. KPS Portfolio Companies have aggregate annual revenues of $5.0 billion, operate 73 manufacturing plants in 12 countries, and employ over 23,000 associates, directly and through joint ventures worldwide. The KPS investment strategy and portfolio companies are described in detail at the firm’s website: www.kpsfund.com

SOURCE KPS Capital Partners, LP