Active Buys Texoprint, Texdeco's DeJong Sees Major Print Trend

February 1, 2001

Enschede Boekelo, The Netherlands — Active BV, a Dutch investment group has purchased two Dutch printers, Texoprint and Texdeco.

The deals for both purchases closed on 30 December 2000. It involved the sale of Texdeco by Rath & Doodehefver, and the sale of Texoprint by Gamma Holding. Prices for each were undisclosed.

Active has a view of building a new large, textile corporation around Texoprint. According to Paul de Jong, Texoprint commercial director, Active will relocate Texdeco's operations from Helmond to Enschede Boekelo where they will be merged with the Texoprint production facilities there.

Just one year ago, Gamma Holding redefined its strategy to expand business in the technical area and not in interior decoration. As a result, it had been looking for a new owner for Schellens, which was also sold in the first half of January to Vescom, the company that also owns de Ploeg Weavers.

Active headquarters will be based in Enschede at the Texoprint plant. This is described as a major investment for the company with further plans for investment in equipment, manufacturing plant and market development. Active is also involved in several joint ventures with the aim to develop new textile markets in Europe.

Texoprint has four Stork 24-color rotary screen printers up to 64 inches in width and is considering the possibility of wide width printing in the future, said de Jong who reports to Huub Hilgenberg, managing director of Texoprint who joined the company 2 January from another industry. "We are also developing digital printing for samples and production," he said.

"We print and finish fabrics in home furnishings and apparel using rotary screens. We also have more technical applications like the European automotive industry for interior fabrics," said de Jong. Texoprint employs 140, but new personnel will be hired in manufacturing, he said.

"There is a return of design and color in the fabrics industry which can be filled by prints and jacquard weaves. Demand for prints in U.S. and Europe has been rising since the middle of 2000, said de Jong. We can tell there is an increasing demand just by looking at our order books and talking to designers."

According to David Cedolia, who heads Texoprint Retail Services USA, Texoprint is selling large-scale prints with 27-inch repeats at $9.95 per yard, to the American furniture industry through Stroup Fabric Sales, a High Point furniture industry converter. (Texoprint Retail, which is one-year-old focuses on retail, bedding and other manufacturing and plans to reach jobbers and the hospitality industry.)

De Jong also said that other discussions are underway with other textile companies to increase the size of Active's investment in the European textile industry.

At one time, Texoprint was a $100 million company and Active said it has every intention of seeing that kind of business realized. At the time of the sale, Texoprint was generating over $50 million in sales annually. Texoprint today sells prints worldwide in more than 40 countries, said de Jong.

The Texdeco plant in Helmond had previously been sold and closed for environmental reasons. Texdeco used to be the Laura Ashley printer for about six years and was previously owned by Rath and Doodehefver, which sold the brand and customer list to Active, including the screens and designs. Rumors of Texoprint's sale passed through the halls of Heimtextil where this year, Texoprint did not exhibit. "We stopped exhibiting at Heimtextil for two reasons," said de Jong. "A lot of our customers are exhibit at Heimtex and launching their own lines. We decided to fully focus on the needs of our customers who are exhibiting there, without the interruptions of the development of our own new collection. Through this new focus, without actually being in Frankfurt, this must have been one of our most successful Heimtexes."

Instead, Texoprint introduces its lines twice a year – at Proposte in Como and at Decosit in Brussels. "Those are our two shows for Europe," said David Cedolia, national sales manager of Texoprint USA.

"We also show our lines at Showtime USA and will be part of Heimtextil America in Miami this year," he said.

Texoprint has been in business since 1889 and is one of the five largest decorative fabric printers in the world. Gamma owned it for about 25 years. Gamma still owns Esta & Sanders, Eifijffinger, in Holland; Sanderson and Dawes in the U.K.—all slated for eventual sale once buyers can be found. "We do license from time to time but the goods we are selling to American bedding manufacturers are printed in the Netherlands," said de Jong.

ITC buys designs from Texoprint on an exclusive basis for the American and Canadian market and Texoprint is part of a larger ITC assortment containing jacquards and other prints.

For 35 years, ITC had an exclusive agreement to be the only importer of Texoprint designs in the U.S.A. and Canada but when this deal runs out in July 2001, all designs will remain exclusive to ITC. Meanwhile, new designs will be sold through Texoprint's American organization.

"We now act as our own importer selling to other jobbers and wholesalers and manufacturers and retailers covering the entire market.

David Cedolia was associated with ITC for 19 years under owner Bernie Sunshine. Cedolia started with Texoprint USA in July, 1999. Cedolia, who is Canadian-born is shooting for a $5 million business with Texoprint in the States and Canada. He is based in High Point, North Carolina.

Cedolia is now focused on increasing Texoprint sales to upscale top of bed suppliers, furniture producers, jobbers; retail stores like Calico Corners, Hobby Lobby and Home Depot Expo as well as smaller fabric shops. Cedolia confirmed that Home Depot Expo has purchased 66 Texoprint SKUs in their Alexander Gates line in the $20 range.

Texoprint also sells the hospitality trade through Jay Dash. A new program of Trevira CS Texoprint numbers has been introduced for the first time to the hotel industry by Dash.


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