LONDON, U.K.:Coats, the world’s leading manufacturer in thread and structural components for apparel and footwear and an innovative pioneer in performance materials, has signed a definitive agreement to acquire OrthoLite Holdings LLC (‘OrthoLite’), the global market leader of premium insoles, accelerating Coats’ growth strategy to create a super tier 2 supplier in footwear materials.
This high-quality, trusted business represents a compelling strategic fit and a unique opportunity to establish Coats as a global leader in the supply of materials to the footwear industry, building upon an already successful Footwear business and adding even greater value for our customers. OrthoLite is a highly complementary addition to Coats due to its customer base, route-to-market, focus on sustainability and global operational footprint, with a strong financial track record.
OrthoLite is a pioneer and global market leader in insole open-cell foam technology, which delivers superior benefits in comfort, performance, and sustainability. The acquisition includes Cirql, a newly developed proprietary foam technology launched earlier this year that targets the midsole market with a biodegradable or fully recyclable offering.
This combination provides Coats with a unique strategic opportunity to reinforce its position as a global leader in the footwear market. OrthoLite’s strategic focus on sustainability, together with its reputation as a technology leader, will further enhance our portfolio of innovative offerings and strengthen our customer proposition to leading footwear brands.
David Paja, Coats Group Chief Executive Officer, said: “The combination of Coats and OrthoLite is fantastic news for both companies and for the footwear industry. It brings together two global leaders in adjacent segments of the footwear components market with a shared vision for innovation and sustainability and with unparalleled brands and customer relationships.
We look forward to working with Glenn Barrett and the OrthoLite team, leveraging our combined strengths to reshape the future of the footwear components industry.”
Glenn Barrett, founder and CEO of OrthoLite, added: “I’m excited to merge OrthoLite, the footwear innovation business that I founded 28 years ago with Coats Group plc. This alliance forms a powerful partnership of industry leaders to provide a platform for OrthoLite and Cirql to continue to serve our customers with the most innovative and sustainable footwear components in the world.”
ABOUT COATS GROUP PLC: Coats is a world leader in thread manufacturing and structural components for apparel and footwear, as well as an innovative pioneer in performance materials. These critical solutions are used to create a wide range of products, including ones that provide safety and protection for people, data and the environment. Headquartered in the UK, Coats is a FTSE250 company and a FTSE4Good Index constituent. Revenue in 2024 was $1.4 billion.
- Trusted by the world’s leading companies to deliver crucial, innovative, and sustainable solutions, Coats provides value-adding products including apparel, accessory and footwear threads, structural footwear components, fabrics, yarns and software applications. Customer partners include companies from the apparel, footwear, automotive, telecoms, personal protection, and outdoor goods industries.
ABOUT ORTHOLITE: Founded in 1997, OrthoLite is the world’s leading supplier of open-cell foam technology. OrthoLite’s innovative footwear solutions are available to brands that share a vision for the future of sustainable footwear. OrthoLite is found in more than 550 footwear brands across all categories of footwear and in more than 600 million pairs of footwear a year.
- OrthoLite is a U.S.-owned and operated company and has owned production facilities in China, Vietnam, Indonesia, Spain, India, ensuring its global team can work locally with brand partners wherever they manufacture shoes. OrthoLite has a stalwart commitment to improvement on its ongoing journey toward producing excellence with less-impactful manufacturing practices. OrthoLite also is the innovator and creator of Cirql.
