---
title: Under Armour closes deal to use hemp yarn in clothing
description: Australian biotechnology company Ecofibre has secured a deal with global sports brand Under Armour Inc to supply a specialty hemp yarn for use in its range
image: https://420intel.com/hubfs/Imported_Blog_Media/Under%20Armour%20closes%20deal%20to%20use%20hemp%20yarn%20in%20clothing.jpg
---

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# Under Armour closes deal to use hemp yarn in clothing

- [Admin](https://420intel.com/blog/author/admin)
- [Cannabis Technology News](https://420intel.com/blog/tag/cannabis-technology-news)
- 7 March 2024

## Australian biotechnology company Ecofibre has secured a deal with global sports brand Under Armour Inc to supply a specialty hemp yarn for use in its range of performance apparel.

The memorandum of understanding was done through Ecofibre’s speciality manufacturing division Hemp Black and will allow for the supply of a specialty yarn using its trademarked eco6 hemp biochar over an initial three-year term.

The deal includes the acquisition of $6.74 million in specialised manufacturing equipment to be financed by Under Armour.

The first machine will be commissioned early next year while a second machine is expected to be acquired within the first 18 months of production.

Annual revenue per machine at full capacity is expected to be around $9 million.

## Tier 1 aspirations

Ecofibre chief executive officer Eric Wang said the supply deal falls into the company’s Tier 1 aspirations.

“When we announced our strategic review earlier this year, we advised that one of the key opportunities for Hemp Black would be to secure new performance yarn clients,” he said.

“The outstanding technical capabilities of our team have enabled us to work with Tier 1 clients \[such as Under Armour\] on large-scale opportunities.”

## Lightweight and low-density

Eco6 is a lightweight, low-density product using hemp which is grown and harvested in the US at certified farms.

The hemp’s stalk (or hurd) is put through a patented process where it is carbonised at extremely high temperatures.

It results in an organic activated carbon yarn designed for use in high-performance textile, industrial and fashion products.

## Sustainable packaging agreement

Hemp Black has also entered an agreement with US company Cruz Foam to manufacture a sustainable and bio-degradable packaging material for its customers.

The initial three-year deal includes expectations of $3 million in annual revenue at full production.

The manufacturing line will be provided by Cruz Foam and is planned to be operational by mid-2024.

“We are excited to work with an innovative company with patented technologies that will help revolutionise sustainable packaging in the US,” Mr Wang said.

“Hemp Black and Cruz Foam are committed to delivering sustainable product solutions for our customers, and we look forward to supporting \[the company\] as its business expands.”

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