Barmag acquired by Rieter Group

May 7, 2025–Rieter, a global leader in short-staple fiber machinery, and Oerlikon Group (OC Oerlikon) of Switzerland have recently reached an official agreement. Rieter has completed the acquisition of the Barmag business of Oerlikon at an equity acquisition price of 713 million Swiss francs (approximately 870 million US dollars). This transaction marks a leap in the global competitiveness of Rieter in the fields of natural fiber and chemical fiber machinery, and injects new impetus into the technological integration and sustainable development of the textile industry.

Strategic synergy: A powerful combination to create a new industry benchmark

As a global leader in the production equipment of man-made fibers, Barmag owns three major brands: Oerlikon Barmag, Oerlikon Neumag, and Oerlikon Nonwoven. Its products cover filament spinning systems, staple fiber spinning equipment, and nonwoven solutions. In the 2024 fiscal year, its sales amounted to 734 million Swiss francs, and it has approximately 2,600 employees. Its market is concentrated in China, India, Turkey, and the United States. Thomas Oetterli, CEO of Rieter Group, said: "This acquisition deeply integrates Rieter's advantages in short-staple fiber machinery with Barmag's filament technology and digital expertise, forming a full-chain solution covering natural fibers and chemical fibers, providing more efficient and sustainable services to global customers."

Technological empowerment: Expanding the chemical fiber market and leading the sustainable transformation

With the continuous growth of global fiber consumption, the demand for chemical fibers has become the core driving force of the industry. By integrating Barmag's technology, Rieter will further consolidate its leading position in the chemical fiber machinery field and enhance its digital solutions and product sustainability. For example, Barmag's EVO DTY machine and e-save environmental label technology will be incorporated into Rieter's product line, helping customers reduce energy consumption and carbon emissions. In addition, the acquisition significantly expands Rieter's market share in the Asia-Pacific region, especially in the R&D and production bases in Suzhou and Wuxi, which will accelerate local innovation.

Market layout: Responding to industry cycles and achieving diversified growth

This acquisition by Rieter is an important part of its long-term strategy. By integrating Barmag's filament technology with its own short-staple fiber business, Rieter will form a more balanced terminal market layout and reduce its dependence on a single market. The technical complementarity between the two is remarkable: Rieter has deep accumulation in the short-staple fiber machinery field, while Barmag's technical expertise in filament spinning, BCF (bulked continuous filament), and nonwoven fields will provide support for Rieter to explore new application scenarios such as clothing and home textiles. It is expected that the synergies after the merger will drive Rieter's profit growth by 2028 and further optimize its capital structure.

Industry outlook: A new leader emerges in the global textile industry chain

This transaction is expected to be completed in the fourth quarter of 2025, subject to final approval by regulatory authorities. Peter Spuhler, Rieter's largest shareholder, and Martin Haefner, the second largest shareholder, both support the transaction and promise to assist with integration through capital increase and strategic investment. Analysts point out that the merger of Rieter and Barmag will reshape the pattern of the global textile machinery industry, promote the deep integration of natural fiber and chemical fiber technologies, and provide an innovative path to address resource constraints and diversified market demands.

Conclusion

The powerful combination of Rieter Group and Oerlikon Barmag is not only a victory for corporate strategy but also a milestone in the transformation of the textile industry towards efficiency, greenness, and intelligence. In the future, the two sides will work hand in hand with customers and partners to jointly explore the infinite possibilities of the textile value chain.