McAdenville-based Pharr Yarns said Tuesday that it will acquire its customer Phenix Flooring, a maker of residential floor coverings based in Dalton, Ga.
The family-owned textile firm – which produces industrial-grade yarns used in protective apparel for firefighters and military personnel – said the merger is intended to further diversify the organization, which also operates a real estate company called Belmont Land and a hotel management business called Strand Hospitality Services.
The deal will be finalized in March, the company said.
Pharr has been supplying yarn to the carpet industry since the 1950s, according to Bill Carstarphen, the company’s president, but the industry has experienced “a lot of consolidation” over the past several decades as companies started making their own yarn and fiber.
“We have had a wonderful relationship (with Phenix) for the last 10 years. For us to be merging them into Pharr is just a natural step in the evolution of our relationship,” Carstarphen said. “We’re very excited about this merger and think it’s going to provide a bright future for the company and all of our employees.”
Terms of the agreement were not disclosed, but Carstarphen said the Phenix acquisition will add 380 employees to Pharr’s workforce. Pharr employs 1,200 in Gaston County and in Clover, S.C.
Phenix will continue operating in Dalton, Carstarphen said.
The 75-year-old Pharr Yarns is known for its community involvement, notably creating and orchestrating Christmas Town USA, a holiday light display in McAdenville that spans 2 miles and attracts thousands of tourists every year.