Cavalier Wool Holdings has issued a media statement in a response to what it describes as ‘some of the incorrect statements that have been made’, over the company’s efforts to acquire the wool scouring assets of rival scourer, New Zealand Wool Services International.

Two weeks ago the High Court dismissed an appeal by carpet maker Godfrey Hirst to stop the Cavalier Wool Holdings and NZWSI negotiations.

Cavalier Chief Executive Nigel Hales says now the High Court Appeal is over they can focus on ensuring the industry understands what Cavalier is trying to achieve with the merger, and how this will benefit woolgrowers, wool exporters and the industry.

He said discussions with NZWSI had been ongoing for nearly two years, ands that Cavalier’s proposal will deliver real benefits for the ‘entire New Zealand Wool Industry’.

He said that if successful, Cavalier Wool Holdings would continue to operate as a commission wool scourer, and sell the wool trading division of NZWSI as a going concern.

Nigel Hales says if CWH is unable to achieve efficiencies arising from the acquisition, the domestic industry risks losing the scouring industry off shore, a situation that has apparently occurred in the UK and Australia.