29 Jun 2012

Farmer investment firm buys Milton woollen mill property

1:59 pm on 29 June 2012

Farmer-owned investment company Wool Equities (WEL) has increased its commitment to the rescued Milton woollen mill in South Otago.

The plant, which makes specialist knitting and weaving yarns, was forced to close last year.

It is now operating again as Bruce Woollen Mill under a consortium put together by Wool Equities and a group of knitting companies who rely on the plant for their yarns.

WEL holds a two thirds stake in the consortium with an investment of about $300,000.

This week it went a step further and bought the land and buildings in a joint venture with a property investment company.

WEL general manager Keith Cowan says orders are growing from customers who prefer to have their yarn processed locally instead of having to import it.