HSM Spins Off Fibers Division to Bush Family
HSM announced that it has sold its HS Fibers operation located in Claremont, N.C. to Regency Fibers, LLC. The divestiture is part of HSM’s strategic plan to focus on core business operations with distinct competitive advantages that achieve target margin standards and operational efficiencies.
Regency Fibers, LLC is owned by the father-son team of Jimmy and Jay Bush, who are part of the family ownership of HSM. Regency Fibers will continue to service current HS Fibers customers and has plans to expand the business into additional markets.
“We anticipate this transaction to be seamless and without any interruption in service to customers, vendors or employees, who will now join Regency Fibers” said Michael Hinshaw, chief operating officer at HSM. “We believe this provides the best opportunity to continue our focus on core business growth and investment at HSM while creating a new company that can truly grow and invest in the fibers market. We are excited about the prospects for Regency Fibers and the Bush family’s plans to grow the business.”
Commenting on Jay Bush’s departure from HSM, Hinshaw continued, “Jay is a proven leader who has driven a variety of operational improvements with tremendous success at HSM during his tenure with us. This presents an opportunity for him to continue to strengthen his entrepreneurial and management skills and we are very supportive of him in his new role and responsibilities.” “For over 40 years, HS Fibers has served the home furnishing industry with a diverse portfolio of thermo-bond polyester fiber batting – used for seat cushion wrap and quilting – hi-loft densified polyester and non-woven products, and we plan to continue that dedicated service,” said Jay Bush, president of Regency Fibers. “The new ownership team, consisting of former HSM and home furnishings industry veterans, will support Regency Fibers management and sales teams while growing the business through strategic investments and innovative new products. As an independent business entity, we will benefit from increased flexibility and will be better positioned to react to the ever-changing needs of our markets.”
Regency Fibers will continue to serve HSM as a primary fibers supplier. HSM has negotiated with Regency for products and pricing to be consistent with past practices but is not required to purchase products from Regency.
HS Fibers produces fiber components, cotton batting and filling materials for furniture and bedding applications. In addition, the operation specializes in custom fabrication including finished cushions and pillows and fill-to-order ticking casings.
About HSM: HSM is a privately held company based in Hickory, North Carolina, with more than 30 manufacturing plants in 14 states. In addition to its core furniture and bedding markets, HSM also serves a growing range of customers in the transportation, packaging, healthcare, apparel and other industries. For more information, visit www.hsmsolutions.com.
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