WL Ross to acquire Burlington; Mohawk to purchase Lees Carpet

WL Ross to acquire Burlington; Mohawk to purchase Lees Carpet

The bankruptcy court in Greensboro, N.C., has approved an amended acquisition proposal of $614 million (subject to adjustment) from WL Ross & Co. LLC as the highest and best received from a recent auction. The agreement contemplates the sale of Burlington Industries to WL Ross & Co. with a concurrent sale of Burlington’s Lees Carpet business to Mohawk Industries.

Mohawk’s portion of the purchase price for the Lees Carpet division is estimated to be approximately $352 million, subject to certain adjustments. The transaction is expected to close in the fourth quarter and is subject to customary regulatory approvals.