Two leading companies in polypropylene fibres have joined forces to create the world's largest producer of fine denier PP staple fibre. The deal brings together the Fibers Division of Hercules Inc (Hercules Plaza, 1313 North Market Street, Wilmington, DE 19894 / USA) and Danaklon Group (Engdraget 22, DK-6800 Varde), a subsidiary of Jacob Holm & Sons A/S. Hercules will own 51% of the new entity, which will be headquartered in Wilmington, Delaware. The combined businesses had 1996 sales of approximately USD 300m.

Hercules' Fibers is a leading producer of staple fibre in the North American market supplying the nonwoven fabrics business for disposable diapers and other hygiene products. It also manufactures textile fibres used in upholstery and automotive trim. The business has manufacturing sites in Canada, USA and Mexico. Danaklon has facilities in Denmark, the USA and China and specialises in PP and bicomponent fibres for the hygiene industry.