GREENVILLE, S.C. (Oct. 5, 2:20 p.m. ET) — JPS Industries Inc. has formed a special committee of three outside independent directors to evaluate an unsolicited takeover proposal from Steel Partners Holdings LP.
JPS, which makes extruded urethane products under the name Stevens Urethane, said in an Oct 5 news release that its board formed the committee to “expediently evaluate the proposal along with other strategic alternatives.”
Steel Partners of New York announced Sept. 21 that it had delivered a letter to JPS Industries expressing its willingness to acquire the Greenville-headquartered group.
The process is expected to take several weeks, after which JPS said it would inform its shareholders of the outcome.
“Steel Partners has stated that they intend to commence a consent solicitation to remove the members of the special committee. The full board and I strongly advise our shareholders to take no action on this solicitation until our special committee has thoroughly evaluated Steel Partners' proposal along with other strategic alternatives, and communicated to all shareholders the result of this evaluation,” said Michael Fulbright, ceo of JPS Industries.
As well as urethane products, JPS Industries also produces ethylene vinyl acetate film and sheet, and mechanically formed glass and aramid substrate materials for specialty applications in many markets requiring highly engineered components.
The company has four manufacturing locations in Anderson and Slater, S.C.; Statesville, N.C.; and Easthampton, Mass.