PARIS — December 8, 2022 — Lectra announces the signature of an agreement to acquire 51 percent of the capital and voting rights of the Dutch company TextileGenesis. As a major player in the fashion, automotive, and furniture markets, Lectra contributes with boldness and passion to the Industry 4.0 revolution by providing software, equipment, data, and services to brands, manufacturers, and retailers.
Founded in 2018, TextileGenesis provides a Software as a Service (SaaS) platform that enables fashion brands and sustainable textile manufacturers to ensure a reliable, secure and fully digital mapping of their textiles, from the fiber to the consumer, and thereby guarantee their authenticity and origins. This solution ensures the traceability of TextileGenesis’ customers’ entire sustainable textile supply chain in order to meet the demands for transparency, driven by changes in legislation in a growing number of countries and by growing consumer awareness, thereby encouraging sustainable development.
Its innovative traceability mechanism, which addresses both ends of the textile value chain, as well as its network of partners for material certification, and its technology platform guarantee the exchange and tracking of reliable and secure data throughout a material’s life cycle.
Several of the world’s most prestigious fashion brands as well as leading sustainable fiber producers are already convinced of the value of TextileGenesis’ innovative offer, which enables the connection of multiple actors of the sustainable fashion ecosystem on this platform.
“Fashion is one of the most fragmented industries due to its long and complex value chain, which makes it opaque to brands, suppliers, subcontractors, and consumers” said Amit Gautam, founder of TextileGenesis. “Today, only 19 percent of fashion industry actors have visibility of their value chain, and this visibility is often partial. Many brands, especially those that have set ambitious sustainability goals, face a real challenge in terms of supply chain transparency. If they cannot track the life cycle of certified materials, they will not be able to justify the sustainability of their products,” he added.
“Having the highest ethical standards, guaranteeing the well-being of our employees, and preserving the environment are embedded in Lectra’s DNA and guide our daily decisions. Through our technology, acquisitions, and partnerships, we aim to empower our customers to work in a more socially and environmentally responsible way,” said Daniel Harari, chairman and CEO of Lectra. “We look forward to joining forces with TextileGenesis’ talented teams to accelerate the development of their sustainable material traceability solution and deepen our knowledge of the textile value chain in the fashion industry,” he concludes.
At the beginning of January, Lectra will acquire 51 percent of TextileGenesis for 15.2 million euros. The acquisition of the remaining share capital and voting rights is expected to take place in two stages, in 2026 and 2028, for an amount that will be calculated based on a multiple of the 2025 and 2027 recurring revenues.
Posted: December 9, 2022
Source: Lectra
