Culp Sells Quebec Facility, Boosts Financial Flexibility

Culp, Inc., a leading provider of bedding and upholstery fabrics, announced the sale of its mattress fabric manufacturing facility in Quebec, Canada, completing its year-old restructuring plan. The facility sold for CA$8.6 million (USD$6.2 million), with CA$2.0 million received at closing and the balance to be paid with interest over six to 12 months. Culp expects net cash proceeds of approximately $3.0 to $3.5 million, which will be used to reduce debt and improve financial flexibility.

Iv Culp, President and CEO, thanked the team for efficiently executing the plan despite a softer local market and property challenges. Exiting the facility eliminates significant monthly carrying costs and strengthens the company’s balance sheet.

Culp also expressed gratitude to former employees and the Quebec community, noting the consolidation of Canadian operations into the U.S. platform was a strategic move to better serve customers. The company now offers a streamlined model with expanded U.S. manufacturing and nearshore/offshore options in Haiti/Dominican Republic, Vietnam, Turkey and China, providing flexible and cost-effective supply chain solutions amid current trade conditions.