NEW YORK – Lanscot-Arlen Fabrics, Inc., the converter of fabrics for apparel, textile and hospitality applications, is for sale, two years after a management-led buyout. In order to continue operating, industry sources say the company must find a buyer or merger opportunity in two months, but neither Lanscot-Arlen CEO Clement Ramdin nor president Bob Woodcock were available to confirm that.

The Atlanta-based bank that partnered with Lanscot-Arlen's buy-out team slashed the company's operating budget, forcing it to cut many positions within the company. In recent weeks, rumors have swirled in the industry about the health of what was once a $50-million company. People close to the company believe a chief reason Lanscot-Arlen is in jeopardy was that it could not collect from its debtors with expedience. Notably, a domestic finished goods company, which owed Lanscot-Arlen about half a million dollars, went belly up early this year.

Some industry sources say that Lanscot-Arlen has been in talks with New York-based jobbers Swavelle Mill Creek and Richloom to sell the company, although this could not be confirmed immediately.

Should Lanscot-Arlen be acquired, it is believed it would exist in a smaller form.