Germany’s Armstrong DLW AG, a unit of asbestos lawsuit-plagued Armstrong Holdings Inc. has entered into talks with CVC Capital Partners, a private equity fund based in London, on the possible sale of its European textiles and sports flooring businesses. The unit, which operates under the name Desso, makes commercial carpet and artificial sports flooring in the Netherlands, Germany and Belgium. Armstrong Holdings’ operating unit, Armstrong World Industries, filed for bankruptcy protection in December to resolve its asbestos liability. Armstrong Holdings, which is based in Lancaster, Pa., said in December that potential liability for Armstrong World Industries and two other units, Nitram Liquidators Inc. and Desseaux Corp. of North America Inc., “threatens the long-term health of its valuable and fundamentally sound businesses.”
Armstrong Holdings was the second major building materials company forced into Chapter 11 proceedings since October, when Owens Corning sought bankruptcy protection.
