Just before the launch of a new prospectus to raise fresh cash from farmers, Wool Partners International (WPI) has announced its involvement in a deal to reupholster the furnishings in about 8000 Starbucks stores outside of the United States.WPI will supp
Just before the launch of a new prospectus to raise fresh cash from farmers, Wool Partners International (WPI) has announced its involvement in a deal to reupholster the furnishings in about 8000 Starbucks stores outside of the United States.
WPI will supply the wool to be used in an innovative fabric blending with fibre from recycling coffee sacks, which was developed by Wellington company The Formary and called WoJo.
Chief executive Iain Abercrombie said the initiative was a further significant step towards delivering farmers the true value of the wool they produce.
The timing of the deal could not be better as WPI prepares to launch Wool Partners Co-operative at the end of the month.
WPI was created from the strong wool business of PGG Wrightson, which co-owns the company with Wool Grower Holdings.
PGG Wrightson stumped up $10 million for Wool Grower Holdings to buy its stake in the company which, with interest, is now $12 million. PGG Wrightson also holds 17.5 million interest bearing preference shares that owe it about $4 million.
The current auction price for clean mid-micron fleece is about 28c a kilogram.
WPI has also recently announced a contract with UK-based Headlam Group, for 600,000kg of strong wool in the first year, building to two million each year as the contract develops.
