French textile group DMC to be acquired by BlueGem
The DMC (Dollfus-Mieg & Co.) Group, market leader in fashion apparel fabrics and leisure crafts. It also occupies a strong market position in household textiles and trimmings for the clothing industry to be acquired by British investment fund Blue Gem at the end of July. This announcement was made by DMCs management from its headquarters in Mulhouse, eastern France on June 3, 2016.
DMC’s current President, Dominique Poile, has announced that the shareholders are planning to complete the sale of the company’s entire assets to BlueGem Capital Partners by the end of July. The news came at the end of an extraordinary meeting of the company’s workers council, attended by the future owner. The value of the sale was not revealed.
DMC is the manufacturer of a renowned embroidery thread. Since 2008, it is jointly owned by French group Krieg, with a 39.8 % share of the stock, by several pools of investors from the Alsace region and by its three top managers. The company was founded in 1746 and employs a staff of 300, 207 of whom work at its headquarters and factory in Mulhouse. Last year DMC’s revenue was EUR 57 million.
BlueGem is based in London and manages EUR 550 million worth of majority and minority shareholdings in medium-sized enterprises (with revenue between EUR 50 and EUR 200 million), including leading brands well-known by consumers and specialist distribution networks, according to the press release issued by DMC.
DMC is the investment fund’s first industrial acquisition in France. Mathieu Develay, BlueGem’s representative in France, stated that the purchase will be considered by BlueGem as a “continuity transaction”. Mathieu Develay specified that BlueGem pledges to safeguard existing jobs “with the subsequent aim to make them grow”, and that Dominique Poile will remain in charge.
The priority will be to spark innovation in embroidery , within a context of “worldwide growth” of the creative leisure activities sector in general. The company will rely on its technical expertise to modernize its range, introducing more cutting-edge products and extending the accessories’ selection, as well as rejuvenating its image, increasing online sales and promoting the brand on social media.