JD United, which supplies denim to retailers including Primark, Gap and Levi Strauss, has been sold to Taiwan-listed manufacturer Roo Hsing Co for an undisclosed sum.
China-headquartered JD United has 25 manufacturing facilities across Asia and Africa and was previously owned by Hong Kong-based private equity firm EmergeVest.
The deal will create a merged business with a combined revenue of more than $500m (£385m).
EmergeVest said it has made around twice the money it invested in the firm on the sale.
EmergeVest first invested in JD United in 2014 and supported the company’s expansion into new markets and product categories with additional capital in 2015.
JD United’s services now cover product design and development, raw material sourcing, sampling, laundry, quality control and own lab testing, packaging and logistics.