Chanel buys Hawick cashmere mill Barrie

Luxury goods firm Chanel has bought the Barrie Knitwear cashmere mill in the Scottish Borders, following the collapse of owner Dawson International.

Chanel said the company's current management would stay in place.

Barrie Knitwear was a trading division of Dawson International, which was placed in administration in August because of the size of its pension liabilities.Chanel did not disclose how much it paid for the Barrie Knitwear business and its assets.

Chanel fashion president Bruno Pavlovsky said: "The acquisition of Barrie business by Chanel is all the more natural as the factory has worked with us for more than 25 years, producing cashmere knitwear including Chanel's iconic two-tone cashmere cardigans.

"Through this acquisition, we reaffirm our commitment to traditional expertise and craftsmanship, and our wish to safeguard their future and support their development."

Chanel said Barrie would continue to "pursue its partnerships with all major luxury brands, with no exclusivity" and grow its own brands presence around the world.

Senior Scottish organiser Alex McLuckie said: "GMB Scotland always felt confident that this highly skilled, productive and fairly loyal workforce which produces a high quality product would be saved.

"It lifts the uncertainty for the 180 employees and we can now look forward to continuing employment for our members in the Hawick site now and into the future."

Deputy First Minister Nicola Sturgeon said Scotland's cashmere industry employed about 4,000 people and contributed almost £200m to the economy.

She added: "This acquisition reinforces Scotland's position as one of the world's leading spinners of quality cashmere yarn and strengthens Scotland's global reputation as a leader in luxury fabrics, cashmere knitwear and designer brands."