From the Sector

JEC Group, dedicated to promoting composite materials, introduces all-new digital event series for the composites community: JEC Composites CONNECT. On June 1-2, 2021, this first round-the-clock event will be one of the industry’s most significant events, hosting major industry players, enabling participants to discover the latest trends thanks to business conferences and get networking opportunities. This live-streamed event will also be the place to highlight innovation through competitions, awards ceremonies and keynote speeches.

JEC Composites CONNECT: a digital event to bring the composites community together
Participants can access the free non-stop digital floor from 8:30 am on June 1 to 6 pm CEST on June 2. This first JEC Composites CONNECT will work as an online trade show, with digital stands for companies showcasing their latest products, from raw materials to composites parts manufacturers with various networking rooms, a meeting requests platform, and with a conference area to access live streaming content.

Composites innovation at the core
JEC Composites CONNECT will host outstanding keynote speakers and all the major JEC Composites competitions and awards promoting innovation, research teamwork, and entrepreneurship in the composites industry.

• The JEC Composites Innovation Awards celebrate the most innovative composites projects and fruitful collaborations between different value chain players in 2021.
• The 2021 JEC Composites Startup Booster competition, with live pitches and winners ceremony.
• The JEC Composites Challenge, where Ph.Ds will present their research projects in front of the jury.

The Awards ceremony will take place on Wednesday, June 2, with an opening keynote speech from inventor and genius entrepreneur Franky Zapata, a.k.a. ‘the Flying Man.’ As the CEO and founder of the company that bears his name, he became well-known for his famed crossing of the English Channel in August 2019 on his Flyboard® Air.

• Several members of TMAS – the Swedish Textile Machinery Association – are actively advancing new coloration technologies as part of a wave of innovation that is currently sweeping out from Scandinavia.

New manufacturers of regenerated cellulosic fibers as alternatives to cotton and synthetics, for example, have been gaining a lot of attention recently, as they scale up to meet demands for a circular approach to the manufacturing of textiles and garments.

These companies have, in turn, been embraced by major Scandinavian brands such as the Danish clothing company Bestseller, Finnish fashion house Marimekko, Norwegian outdoor brand Bergans and Sweden’s own H&M Group.

Fiber journey
From the field or the forest to the retail shelves, however, the journey of every single textile fiber is currently a long one, in which it passes through many hands and moves around the world. The good news is that many of these individual stages are now being greatly simplified by digitalization.

“Digitalization will lead to a significant reduction in garments that for one reason or another are never sold and end up in landfill,” says Therese Premler-Andersson, Secretary General of TMAS. “There will of course, be a huge ecological benefit.”

At the very center of any fiber’s journey, once it has become part of a knitted or woven fabric, are the dyeing and finishing stages of textile production. Dyeing and finishing currently involves many washing and drying process steps which add a huge burden to the overall carbon footprint of finished garments and textile products.

Coloreel expansion
Here is where the latest fully digital technologies of TMAS member companies are making a dramatic difference, such as the instant thread coloration technology, of Coloreel, which has just raised SEK 100 in new financing to support its market expansion and growth.

Initially targeting the embroidery market, Coloreel technology enables the high-quality and instant coloring of a textile thread while it is actually being used in production and can be paired with any existing embroidery machine without modification, while also making it possible to produce gradients in an embroidery for the first time.

Based on a CMYK ink system, Coloreel’s advanced rapid color formulation software and high-speed drive technology allow a single needle to carry out what previously required many multiples of them to do – and with much more consistent stitch quality,

In addition, existing thread dyeing plants can add a single solid color to a thread, but by instantly coloring a white base thread during production, Coloreel enables complete freedom to create unique embroideries without any limitations in the use of colors. Color changes along the thread can either be made rapidly from one solid color to another, or gradually, to make smooth transitions or any coloring effect desired.

This provides big benefits when it comes to sustainability. There is a significant reduction in wasted inks, while water usage is minimized, and production speeds are increased. The technology allows set-up and lead times to be reduced as well as significant flexibility in production schedules, while eliminating the need for large thread inventories.

“Our system is allowing customers to achieve color effects that have never been seen before – and at a new level of efficiency,” says VP of Sales and Marketing at Coloreel, Mats Sjögren. “We are setting the new benchmark for the embroidery industry.”

Despite the Covid-19 pandemic, Coloreel, has recently successfully delivered units to companies in Europe, the United States and Asia, and has also partnered with the world’s largest distributor of embroidery machines, American Hirsch Solutions, which has already installed the technology at a number of customers in the USA.

imogo
Another TMAS member achieving rapid progress is imogo, which is currently installing its first industrial scale Dye-Max spray dyeing line at the plant close to Borås of Swedish commission dyeing company 7H Färgeri – the Nordic region’s most complete dyeing and processing plant.

The new line has a working width of 1.8 meters with an operating speed of up to 50 meters for the reactive dyeing of cellulosic fiber-based fabrics. In addition, it can carry out the application of a wide range of fabric pre-treatments and finishing processes, providing the company with unbeatable flexibility in production.

A proven Mini-Max laboratory unit for pre-determining application volumes and color matching has also been installed at the 7H plant.

With the potential to slash the use of fresh water, wastewater, energy, and chemicals by as much as 90% compared to conventional jet dyeing systems, the DyeMax has gained considerable attention since the concept was outlined and a prototype machine constructed in 2019.

The application unit of the Dye-Max consists of a closed chamber containing a series of spray cassettes with precision nozzles for accurate and consistent coverage, in combination with the patented imogo Pro Speed valve that controls the volume to be applied.

“We are achieving an extremely low liquor ratio of around 0.5-1 liters per kilo of fabric and we fully control the pickup, applying precisely what is required to the specific fabric,” says imogo founding partner Per Stenflo. “Compared to traditional padders there is no contamination of the dyebath or dilution of the dye liquor to worry about.”
Fast changeovers with virtually no waste, together with a high production speed, enable a high productivity and unmatched production flexibility.

“The Dye-Max will be implemented in 7H daily production and producers and brands are welcome to visit when the Covid-19 situation allows. They are also welcome to do test productions at 7H to verify the performance on their fabrics.”

Perfect bridge
“Such new digital technologies from TMAS members represent the perfect bridge for sustainable new fibers on their route to the finished garments of responsible brands on the retail shelves,” concludes Therese Premler-Andersson. “There is now a real momentum building industry-wide for new circular manufacturing, and TMAS companies intend to be very much a part of it.”

Financial Year 2020

As a consequence of the COVID-19 pandemic, Rieter closed the 2020 financial year with sales of CHF 573.0 million, which corresponds to a decrease of 25% compared to the previous year (2019: CHF 760.0 million). Due to the low sales volume, a loss of CHF 84.4 million was recorded at the EBIT level while at the net profit level the loss was CHF 89.8 million. In view of the loss in the 2020 financial year, the Board of Directors proposes that shareholders waive the payment of a dividend for 2020.

Order intake of CHF 640.2 million in the 2020 financial year was 31% down on the previous year (2019: CHF 926.1 million). Following the significant slump in demand in the second quarter of 2020 (CHF 45.7 million), order intake recovered in the third quarter (CHF 174.4 million) and improved further in the fourth quarter (CHF 215.1 million).

At the end of 2020, the company had an order backlog of about CHF 560 million (December 31, 2019: about CHF 500 million).

Business Groups
Sales of the Business Group Machines & Systems amounted to CHF 295.8 million in 2020, which corresponds to a decrease of 24% compared to the previous year. Due to the low volume and taking into account the expenditure on the ongoing innovation program, the business group recorded a loss of CHF 72.4 million at the EBIT level. Order intake in the reporting year was CHF 363.9 million (-35% compared to the previous year).

The Business Group Components with sales of CHF 174.3 million (-24% compared to the previous year) achieved a profit of CHF 1.4 million at the EBIT level before restructuring charges. EBIT after restructuring charges was CHF -5.5 million. The order intake with CHF 169.1 million (-24% compared to the previous year) was just below sales.

The Business Group After Sales achieved sales of CHF 102.9 million (-27% compared to the previous year) and a positive EBIT of CHF 1.8 million. Order intake was CHF 107.2 million (-24% compared to the previous year). Over 60% of spinning mills were shut down in the second quarter of 2020, with a corresponding impact on the demand for spare parts.

Dividend
Due to the loss of CHF 89.8 million at the net profit level in the 2020 financial year, the Board of Directors proposes that shareholders waive the distribution of a dividend.

Outlook
Rieter expects the market recovery that began in the second half of 2020 to continue in 2021. The company expects an order intake in the first half of 2021 exceeding that of the previous half year (second half of 2020: CHF 389.5 million). Thanks to the improved capacity utilization, Rieter is planning short-time working in only a few areas in the first half of 2021. Nonetheless, as already announced, Rieter still anticipates that sales in the first half of 2021 will be below the break-even point. In connection with the high order backlog at the beginning of 2021, Rieter expects an operating profit for the full year 2021.

• 75% recycled content yarn with no performance compromise
• A circular, endlessly recyclable solution for contract, automotive and residential carpets
• Significant resource efficiency in EqoCycle production compared to virgin-based PA6 yarn: 58% reduction in fossil fuel use; 27% less energy consumption; 37% CO₂ emission reduction

B.I.G. Yarns announces its latest development, EqoCycle, a fully recyclable PA6 yarn with 75% recycled content, offering the same high-quality performance of virgin PA6 yarn. The new recycled yarn mainly based on post-industrial waste supports contract, automotive and residential carpet manufacturers with a drop-in circular solution to reduce the ecological footprint of their end products.

EqoCycle is made with recycled granulates derived from pre-consumer recycled and regenerated PA6, certified by Control Union for Global Recycled Standard (GRS) Certification. The use of less virgin materials implicates a decrease of fossil fuels by 58% and a 27% decrease in energy consumption. On top, EqoCycle yarns allow a reduction of 37% of CO₂ eq./kg compared to the fossil based yarns. The environmental impacts of EqoCycle with 75% recycled content were calculated through an LCA analysis, verified according to ISO 14025 and EN 15804+A1 and published in an Environmental Product Declaration (EPD registration number S-P-02415).

Customers have the assurance that for every 1.000 tons of EqoCycle yarn, 13,562 barrels of oil are saved and 2.700 tons of CO₂ emission are reduced, compared to PA6 traditionally made from virgin materials.

Emmanuel Colchen, General Manager Yarns Division, comments: “EqoCycle is a perfect example of how higher resource efficiency in our industry can promote greater circularity in our customers’ industries. Minimizing waste, re-using materials, and saving energy and carbon emissions in production, it provides our customers and carpet brands with a new sustainable alternative that won’t compromise their end-product performance but will support their increasing focus on CO₂ reduction and global warming potential. All part of our wider commitment to encourage decoupling from the need for only virgin feedstocks and moving towards a circular economy for yarns and soft flooring industries.”

EqoCycle is the latest circular solution in B.I.G. Yarns’ PA6 portfolio, joining EqoBalance PA6, based on biomass balance renewable resources, which offers up to 75% CO₂ reduction. Both exemplify the company’s on-going investment in developing new products that better serve customers’ needs in a sustainable way. B.I.G. Yarns fully pursues opportunities to support and solve the global environmental challenges through innovation, investment and collaboration, as part of its sincere belief in, and broader commitment to, Social Responsibility.

The innovation of EqoCycle and EqoBalance PA6 aligns with the company’s active integration of the UN Sustainable Development Goals (SDGs) into its business activities, creating value for customers and engaging employees and value chain partners.

A technology to reduce 75% of the water typically used in denim and garment laundry processes, this innovation is evidence of the commitment by Officina+39 to a more sustainable production and planet.

An Italy-based reality with a thirty-year experience on research and chemical application in the textile sector, Officina+39 brings to the table its latest innovation, launched in occasion of Kingpins 24 Flash: the AQUALESS MISSION. It features three products for one innovative process suitable for conventional machines: REMOVER BC, a laser booster, AQUALESS AGED, a waterless compound to give denim abrasion effects and OZ-ONE POWDER, an advanced product to give garments a bleached yet eco-friendly treatment, for a worn and distressed look.

REMOVER BC
This special compound increases laser effect on indigo or dischargeable dyestuff, saving time and energy for a swifter production. Due to the speedy process it also prevents fabric tearing whilst focusing on giving a used look.

AQUALESS AGED
Ideal to give abrasion effects on denim, this waterless treatment has a reduced impact on the environment and can be applied in combination with Oz-One powder both on black and indigo denim.

OZ-ONE POWDER
The sustainable (chlorine and potassium permanganate free) way to give denim that distressed and worn look, with no need of water or high temperatures.

AQUALESS MISSION meets the needs of the industry to reduce water in manufacturing operations, pledging to meet UN’s 2030 SDG 6 of clean water and sanitation, and by doing so protects the planet and its resources.

• Next Jec World Will Take Place From March 8 To 10, 2022

The continued impact of the Covid-19 pandemic unfolding throughout 2021 has forced the JEC World team to reexamine the possibility of holding the next edition of JEC World this year. Thus, after thorough consultation of clients and partners, the JEC World team has decided to postpone the next edition of JEC World to March 8 to 10, 2022.

Amidst growing concern among our exhibitors and partners surrounding the critical situation of the Covid 19 restrictive measures and other limitations in place in many countries, the JEC World team has decided to work on a new timeline to hold the next edition of the event in the best conditions in 2022. Thus, JEC World exhibitors were asked to respond to a survey offering two new dates to determine which one would suit them the most. It appeared that 89% of respondents favored holding the next JEC World session from March 8 to 10, 2022.

“The coronavirus pandemic situation has taken the central stage, so in light of the current situation, it would not be possible for us to satisfy our customers’ requirements for such an international trade fair as JEC World in June. We truly regret having to make this difficult decision once again. However, we are all committed, starting today, to deliver the best JEC World experience to our clients in 2022.” says Eric Pierrejean, CEO of JEC Group. “While waiting for welcoming the international composites community back to Paris in March 2022, JEC Group team is preparing various online Rendez-Vous in June enabling the entire composites community to discover trends and innovations, and to connect″, he added.

The leading composites event will take place from March 8 to 10, 2022, at Paris Nord Villepinte (same venue) and online for a new augmented experience.

As the leading trade show of the composites industry, JEC World will bring together the whole composites materials value chain and professionals from application sectors, experts from the scientific and academic world, associations, and media from more than 112 countries, introducing in 2022 its audience its new digital platform, JEC World Augmented.

“JEC World 2022 and the augmented platform  will bring the international composites community and specialists together to resume business, network, hold business meetings. They will also have the chance to participate in conferences, workshops, and discover the latest composites innovations,” says Adeline Larroque, Show director and EMEA events.

• Every moment of our day is important: TINTEX knows it and for SS 2022 is proposing solutions to enhance our wellbeing, fitting all our possible and different needs 24 hours a day.

From sunrise to sunset

Last season TINTEX “RAW” collection has successfully explored the modern human being dimensions with no more genders and races, and today the new SS 2022 collection confirms the Naturally Advanced Evolution vision built on a strong environment-driven approach and cutting-edge technology able to offer contemporary consumer a brand new smart and performing choice.

How? The SS2022 TINTEX 24h collection is offering solutions that can fit the different moments of our daily lives to rediscover ourselves in the outside world, leaving behind the social isolation that we all experienced in 2020. Freedom, comfort, flexibility and movement are the concepts the company explores looking not only to fashion moments, but to all the occasions of life where the most comfortable yet performing and responsible materials - from recycled synthetics to organic cotton - are the “right value choice”.
 
From there, the concept of giving life to 10 fabrics that truly embody our daily lifestyle: comfort, versatility, wellbeing.

Colours. A journey through warm and vivid colors - from reddish apples to sunny oranges with notes of starry blues - encourages wellbeing, feeling of relief, freedom and happiness because we feel that "we are alive again” when we go outside, doing everything we have always done, but that we were forced to put on pause. “RADIANT YELLOW it’s TINTEX color of the season, with its inherent positivity and strength. An energetic color that calls for a natural freedom to explore the world; a warm sensation of summer that feels like home” declares Ana Eusebio, designer at TINTEX Textiles.
 
All the collection focuses on the interlock structure, able to “concretely” deliver the value of versatility  and  fulfil performances needs of different moments of life. The idea is to create a collection that explores only one structure taking it to the limit, recreating, re-inventing and re-exploring its possibilities in order to meet the value of duality. Yes, in a single knit TINTEX challenged the way interlock is usually constructed by exploring each side of the articles and combining texturized with plain surfaces as well as light and heavy weights. Interlock offers natural stretch performances and exceptional dimensional stability.

Moreover, an important eye on responsible performances improvement to meet contemporary challenges and make us feel comfortable and safe! Always thanks to TINTEX DNA that is showing once more its consistent and evolved skills in making smart fabrics combined with unique eco-high-tech finishings.
 
Materials & finishings. A soft performances journey where it’s all about our dynamic daily lives. Through light and heavier fabrics, we find a well thought blend of innovative and responsible fibres. Strong focus is given to exceptional “transformation” technologies such as Newlife™, Q-Nova®, and ROICA™ EF by Asahi Kasei. While Organic cotton, TENCEL™ Lyocell fibers and TENCEL™ Lyocell fibers with Micro technology offer a unique natural and precious touch.

Fresh fibres and finishings that enhance freshness and comfort. Polygiene® STAY FRESH and Polygiene® Odor Crunch for active odor control performances, Hydroperm® by Archroma technical hydrophilic finishing for a fast dry, comfortable surface and a fresh look. Absolute novelty of the season is the TASTEX®COOL-EX by TANATEX, a skin-care treatment agent based on micelles, which gives a special cool sensation using dynamic temperature control.
 
Lastly, TINTEX addresses the accessories and outerwear markets with a “look-like leather” created with a water-based coating technology that incorporates pine shell.

Wardrobe solutions. 10 versatile articles that can perfectly fit the different areas of our daily wardrobe: from casual to formal wear, from athleisure to sports, from loungewear to underwear.  10 innovations that have become a  REAL  24th hours smart wardrobe   thanks to the unique design interpretation of these fabrics  by  5 contemporary and innovative Portuguese  designers such as : Rita Sá, David Catalán, Maria Gambina, Maria Meira and Behén.

Unique pieces designed and created by them   to show once more the beauty, the versatility, the smart performances of TINTEX collection that has been able to transform itself into a naturally advanced valuable wardrobe where fabrics have concretely come to life to make our everyday life smart in each moment! You can have a real look at this wardrobe that fully represent the values behind the collection, smartly interpreted by the Portuguese designers at this video  https://www.youtube.com/watch?v=ppPHPK0Zyu8 .

Thinking about what is happening around us as planet and individuals in an era of unpredictable challenges, we need to be creative constantly reinventing ourselves, aware of a new society and way of consuming where environment and human needs count.  And TINTEX, that has over-time established itself as a global leader in smart innovation, decided to focus exactly on that. The company DNA and vision of Naturally Advanced Evolution is centered on this new way of life that must adapt, but NEVER - now more than ever - compromises neither nature nor new generation’s performance.

Since 2014, Iluna Group Srl stands out for braiding together the values of beauty, innovation and responsibility.
The company achieved this with Iluna Lab, a cutting-edge research and development centre where laces are conceived and engineered to become sustainable ingredients for the contemporary wardrobe.
The smart values are attested by the STeP - Sustainable Textile Production by Oeko – Tex® certification for its ethic approach. “We are also the first lace producer to have gained the GRS - Global Recycled Standard for transformed products, and whose products are all certified OEKO-TEX® Standard 100.” Comments Walter Colombo, Technical Director at Iluna Group Srl.
 Moreover, in recognition of the great value of responsible innovation, Iluna Group is now officially a partner of C.L.A.S.S., the international ecohub founded in 2007 by Giusy Bettoni, a reference point in the fashion and textile sector for all those who want to make fashion smarter.

Now the company announces two important collaborations with Néné Paris and NOO, “two booming French brands which have intercepted and share our values and vision for sustainability where beauty and innovation are key”.

Néné focuses on preserving natural resources using only upcycled fabrics or fabrics made with recycled fibers. Each and every step of the production is entirely made in Europe.

French independent designer brand NOO creates exquisite lingerie, timeless ready-to-wear garments and bold cut swimwear and bodysuit for women. The brand pays extreme care to aesthetics and details at every step of the production process, from sourcing materials to waste reduction, choosing factories and using recyclable packagings.

• C.L.A.S.S. launches the Manifesto for Responsible Fashion and kicks off the CALL TO ACTION of C.L.A.S.S. ICON 2021
• What does it mean to be a “game changer” in green fashion?
• What are the false myths of eco-fashion and what are the guidelines for innovating while safeguarding the planet? And how do you tell the story behind a sustainable fashion collection?

An annual competition to reward a visionary creative who combines design, responsible innovation and communication, capable of raising contemporary consumer awareness of the new values of sustainable fashion. This is the Call to Action launched to find the C.L.A.S.S. ICON 2021 by Giusy Bettoni of C.L.A.S.S. in the Smart Voices panel "C.L.A.S.S. ICON: Award and Manifesto for Responsible Fashion", moderated by the green journalist Diana de Marsanich, and starring, on the 10th February, the fashion designer Gilberto Calzolari, recipient of the international award for creative visionaries in the world of fashion C.L.A.S.S. ICON Award 2020, and Federico Poletti, Marketing and Communication Director of WHITE SHOW.

C.L.A.S.S. Manifesto  

During the Smart Voice, the C.L.A.S.S. Manifesto for Responsible Fashion, the 2021 edition of the C.L.A.S.S. ICON competition and the Sustainability Formula were presented.

C.L.A.S.S. ICON Award is an international award for visionary creatives in the fashion world who are able to convey the values of sustainability not only to fashion professionals, but also to the wider public: consumers. "We created C.L.A.S.S. ICON to reward visionary designers who create their collections by combining design, innovation and responsibility and who are able to communicate the values behind their garments authentically and effectively to consumers. It's time for storymaking and storytelling to align, otherwise it's just greenwashing" says Giusy Bettoni.

From 15th of February to 15th of April it will be possible to apply by sending an email to classicon@classecohub.org, with a description and objectives of the brand, the sustainability values adopted and the strategy, the designer's profile, a photo-video story of the latest collection, and any previous awards won (all info on http://www.classecohub.org).

During the panel, designer Gilberto Calzolari, the first winner of the first C.L.A.S.S. ICON Award, shared his vision for responsible fashion and his current projects. "My brand is a laboratory of experimentation. I create fashion to open conversations and change the way people behave and think. My creativity, from the choice of fabrics and processes to the image I decide to communicate, are the weapons at my disposal. Since the beginning, I have been really excited to team up with C.L.A.S.S. in order to share a common and challenging journey, with the perspective to be part of a constantly growing network activating mutual support. I have always thought at my collections as a call to action for a better future and now more than ever my mission as C.L.A.S.S. ICON is to make people understand that commitment and sustainability can and must go hand in hand with beauty and elegance. The adage 'kalòs kai agathòs' is one of the classical teachings that should never be forgotten: aesthetics, in my opinion, is inseparable from ethics. That's why I don't just target professionals, but also the end consumer, fashionistas and beyond" says Gilberto.

"For the first edition of C.L.A.S.S. ICON in 2020 Gilberto was decreed as our chosen one, and the path together was sanctioned at that moment: the sharing of values and visions is an indissoluble bond that keeps us united over time. Like Gilberto, each ICON will be part of a community where together with C.L.A.S.S. will try to make a real smart fashion and above all create an important voice," says Giusy Bettoni.

In support of the C.L.A.S.S. ICON award, C.L.A.S.S. presented its Manifesto for Responsible Fashion, which summarises the values that C.L.A.S.S. has been researching, communicating and developing since 2007: the role of the ethical company and its transparent production, the importance of traceable and healthy products, with total respect for people and the environment. A commitment to a circular economy with a positive impact that also means safeguarding the seas, the ocean, the use of water, energy and resources.

"A Manifesto for fashion with the lowest possible impact on the planet and on people and animals’ health thanks to responsible innovation, perfectly up to the challenges of contemporary lifestyle. This is why I created the Sustainability Formula, which only exists when there is design, responsible innovation and we are able to track and measure the impact of products and processes and communicate the new values in an appropriate way. In a word, when there is knowledge" concludes Giusy Bettoni.
 
F = D x I x S x C
F= Fashion
D=Design
S=Sustainability
C=Communication

Lectra announces its plan to acquire the entire capital and voting rights of US-based Gerber Technology. A key Industry 4.0 player in the fashion, automotive and furniture industries, Lectra designs smart industrial solutions – software, equipment, data and services – that help brands, manufacturers and retailers develop, produce and market their products.

The acquisition, if and when consummated, would allow Lectra to complement its market position and continue to enhance its offerings based on Industry 4.0 technology that will enable its customers to boost the productivity and profitability of their operations. After the French work council of Lectra is consulted and the binding documentation is signed, completion of the acquisition shall remain subject to merger control clearance and other customary conditions and shall be submitted to Lectra shareholders for approval.

The proposed combination would occur at an opportune time for both companies and their customers. The current uncertain economic climate and unprecedented challenges that fashion, automotive and furniture companies are facing due to the COVID-19 pandemic make it more important than ever for them to transform, digitalize and optimize their operations.

For over 50 years, Gerber Technology has used its proprietary technologies and deep domain expertise to provide integrated software and automated hardware solutions to companies around the world, including over 100 Fortune 500 companies in 134 countries.

The strategic combination of Gerber Technology and Lectra will create a premier advanced technology partner, able to quickly meet changing customer needs and deliver even more value through seamlessly integrated solutions. Together, the two companies will have a large installed base of product development software and automated cutting solutions in operation, with a worldwide presence and a long list of prestigious customers.

Consolidating the two companies’ research and development capabilities will enable the combined company to accelerate development of Industry 4.0 technologies and help its expanded customer base seize the full potential of these innovations.
Integrating the technology of the two companies will endow them with the resources to anticipate and address rapidly changing market conditions.

Key transaction terms

Under the proposed acquisition, Lectra would acquire all outstanding shares of Gerber Technology on a cash-free debt-free basis for an upfront payment of 175 million euros – through a combination of cash and debt – plus 5 million newly issued Lectra shares to AIPCF VI LG Funding, LP (“AIPCF VI LG”), an affiliate of American Industrial Partners that is Gerber Technology’s sole shareholder. This would represent a total amount of about 300 million euros based on Lectra’s closing share price on February 5, 2021. No contingent consideration is contemplated.

Gerber Technology’s revenues was 165 million euros in 2020.

Thanks to the strong value creation deriving from significant synergies, Lectra expects the transaction to be accretive for shareholders from 2022.

Upon closing, Daniel Harari would own c. 14.6% of the Lectra shares and AIPCF VI LG would own c. 13.3%.

Lectra’s Board of Directors would welcome a director representing AIPCF VI LG.

Daniel Harari would continue to be the Chairman and Chief Executive Officer of Lectra. Gerber Technology Chief Executive Officer, Mohit Uberoi, would assume special advisor to Daniel Harari role until end-2021.

Lectra’s shareholders would be invited to vote on the issuance of the 5 million new Lectra shares reserved to AIPCF VI LG at a dedicated Extraordinary Shareholders’ Meeting which is currently expected to be held on April 30, 2021. A report containing additional information will be made available to the shareholders prior to the Extraordinary Shareholders’ Meeting.

Lazard is acting as exclusive financial advisor to Lectra, and Latham & Watkins as legal counsel to Lectra.

Goldman Sachs is acting as exclusive financial advisor to AIPCF VI LG, and Ropes & Gray LLP, Baker Botts LLP and Gide Loyrette Nouel A.A.R.P.I. as legal counsel to AIPCF VI LG.

2020 results, update on the 2020-2022 strategic roadmap and guidance for the coming years will be disclosed on February 10, 2021.

Lectra management will discuss the transaction, provide forward-looking guidance for the combined company upon closing of the transaction and answer questions from the financial community during the February 11, 2021 webcast Analyst Conference meeting in French starting at 8:30 am (CET - Paris).