Unifi, Inc. Announces $60M Sale of Yadkin County Property

What Happened

• On August 16, 2026, Unifi Manufacturing, Inc. (UMI), a wholly owned subsidiary of Unifi, Inc., entered a Real Estate Purchase and Sale Agreement with Enovum Data Centers Corp. to sell certain industrial/manufacturing buildings and related land in Yadkin County, North Carolina for a $60.0 million cash purchase price. The company issued a press release on August 17, 2026 announcing the agreement.

Key Details

• Purchase price: $60.0 million; earnest money deposit: $2.25 million (up to $1.0 million may become non‑refundable if Buyer extends the inspection period).
• Inspection period expires September 15, 2026 unless extended; closing is scheduled 45 days after the inspection period ends unless accelerated.
• Representations and warranties survive 12 months; UMI’s indemnity applies only after Buyer’s losses reach $0.1 million and is capped at 3% of the purchase price.
• Net book value of the transferred property was less than $5.0 million as of June 28, 2026. Net proceeds will be used to repay a portion of the principal under Unifi’s existing term loan facility.

Why It Matters

• The transaction would generate substantial cash proceeds that the company says will be used to reduce outstanding term loan principal, which can improve the balance sheet and reduce interest-bearing debt.
• The $60.0M sale price materially exceeds the reported net book value (<$5.0M), implying potential accounting gains on disposition, though the deal remains subject to conditions (energy capacity confirmation, governmental/third‑party approvals, separation documents, and agreement on post‑closing occupancy/partial leaseback).
• Because the sale is conditional and includes a partial leaseback and specific energy and approval requirements, the transaction is not final until closing and could affect ongoing operations and timing of debt reduction.