Leggett & Platt selling Prime Foam unit

Carthage,Mo.— Components supplier Leggett & Platt will sell its Prime Foam operations and exit the polyurethane foam business for furniture and bedding. David Haffner, president and ceo, said that while Prime Foam is performing well, the company’s market position is small and the business doesn’t fit into the company’s long-term strategic plan.

The sale, which has annual revenues of about $200 million, represents the largest divestiture in Leggett’s history. The foam supplier’s new owner is Comfort Co., which is controlled by the Greenwich, Conn.,-based private equity firm Catterton Partners.

Leggett said the deal should result in a pretax gain of about $24 million or 6 cents per share. It also will reduce the company’s full-year operating earnings by about 4 cents per share. The company said it would retain its foam operations that produce carpet underlay.

Home & Textiles Today Staff | News & Commentary

 Home Textiles Today is the market-leading brand covering the home and textiles markets, offering a comprehensive package of print and online products. Home & Textiles Today provides industry news, product trends and introductions, exclusive industry research, consumer data, store operations solutions, trade show news and much more.

Featured Video

  • Live From New York: Fashion Comes Across the Pond

    Camera Icon More Videos

Subscribe to
Home & Textiles Today eDaily
Receive the news you need to know about the trends in the industry delivered right to your inbox.

CURRENT ISSUE

HTT Cover October 2017

See the October 2017 issue of Home & Textiles Today. In this issue, we look at the Top 25 Online Retailers.  H&TT's exclusive annual ranking of the biggest online sellers of home textiles finds that while pure play etailers continue to fly, bricks & clicks are digging into omnichannel. See details!