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Jacob Capital acquires Gelvenor Textiles

20 Jul '16

2 min read

South African private equity firm, Jacobs Capital, has acquired Gelvenor Textiles, manufacturer of industrial, technical apparel, outdoor lifestyle, protective, and aeronautical fabrics from Courthiel Holdings, which is owned by German corporate investor, Claas Daun, for an undisclosed amount.

The transaction, which is effective from January 2016, includes a merger with South Coast based MB Workwear, one of South Africa's leading manufacturers of workwear and personal protective clothing. MB Workwear will become a division of Gelvenor Consolidated Fabrics.

Wessel Jacobs, chief executive of Jacobs Capital, said, “Even though the two companies operated under the same parent company, they would continue to operate separately in the market as independent entities.

He added, “The new ownership would not result in any material changes in agreements with Gelvenor's suppliers. Most importantly, the company's sustained -growth meant there was no need for any staff changes. Instead, the emphasis would be on further innovation and research as part of a drive to position Gelvenor as a -global leader in the production of specialist fabrics. In the longer term, this could see the company expand and create further job opportunities.”

Gelvenor chief executive, Dicky Coetzee said, “Sales this year was very positive for Gelvenor as Jacobs Capital supported its sustainable business model and its strategy of continuing to place Gelvenor at the forefront of speciality and technical textiles. Plans were in place to grow production of aeronautical textiles by at least 30 per cent in the next year through the production of extremely light and thin fabrics for rescue parachutes as well as capturing additional market share in the paragliding market.

“Jacobs Capital has a team of strong business leaders who will invest in and assist us to build on Gelvenor's strengths. Their target is to grow the business and to provide support for Gelvenor to tackle even bigger projects than what we have done in the past,” he concluded. (GK)

Fibre2fashion News Desk - India