Tarrant Purchases Mexico Sewing Plant

Los Angeles-based manufacturer Tarrant Apparel Group has entered into an agreement to purchase a 100,000-square-foot sewing facility in Ajalpan, Mexico for approximately $11 million in cash, $9 million of which was paid at the end of last year to finance construction. The plant, which was built in 1999 and began operations in 2000, can produce 6 million units per year, according to the company.

Tarrant also owns a denim plant, twill plant and garment processing facility in the area.

“The Ajalpan acquisition eliminates our reliance on third party sewing contractors,” said Gerard Guez, chairman and chief executive officer for Tarrant. “Not only have we acquired the land, buildings and all operating equipment of Ajalpan, but we have also gained a trained labor force comprised of approximately 2,000 skilled workers.”

Guez also said that Tarrant was using the facility prior to acquisition, allowing the company to “hit the ground running” without production delays.—Alison A. Nieder