Spanish stretch-fibres firm Dogi has sold its 50% stake in Thai subsidiary Penn Asia for EUR2.6m (US$3.6m) and reshuffled its top management as it continues to streamline its business.

In a regulatory statement, the Barcelona-based firm said the sale is part of a plan to divest assets to raise cash to shore up its business after emerging from a recent bankruptcy restructuring. After the divestment, the group will retain its 100%-owned Dogi China and EFA franchise in the US.

Dogi said the Thai joint venture's contribution to its business was "null" and the disposal was necessary to ensure its financial viability.

Last June, Dogi sold its stake in its Sri Lankan unit DogiEFA for EUR650,000.

Dogi also announced the appointment of Ignacio Mestre as its new general manager, replacing chief executive Jordi Torras who will take up other duties at the firm.

Prior to joining Dogi, Mestre was general manager of international operations at beverage packaging firm Graphic Packaging International.