Les Echos, September 10, 2024, by Stéphane Frachet.
/ translation from French /
The upholstery fabric and luxury silk specialist is recapitalizing with the entry of Pascal Cagni’s investment company, formerly a companion of Steve Jobs and Tim Cook at Apple.
From high-tech to silk, Pascal Cagni isn’t afraid of the leap. The founder of C4 Industries, which he defines as an “entrepreneurial platform, not just an investment fund,” is taking a majority stake in Maison Lelièvre, a French textile manufacturer with a factory in Panissières (Loire) and a silk workshop in Lyon (Rhône).
“We’re here for the long term, with no exit horizon in four or seven years,” emphasizes this former companion of Steve Jobs and Tim Cook at the helm of Apple. The Lelièvre family will retain a minority stake in the company, which has 140 employees and €18 million in revenue. Emmanuel Lelièvre, representing the fourth generation, will remain CEO. The amount invested is not disclosed.
Factory and warehouse renovations
This manufacturer, which joined the prestigious Comité Colbert of luxury companies this summer, supplies upholstery fabrics to 60,000 clients, ranging from the Palace of Versailles to individual customers and high-end hotels. It relies on brands like Lelièvre, founded in 1914, Tassinari and Chatel, established in 1680, and Quenin, founded in 1865.
However, like many textile businesses, it faces challenges in generating margins due to the complexities of certifications and the weight of regulations.
“The factory needs modernization, and the IT systems are outdated,” notes Pascal Cagni, who is preparing an initial investment plan between €5 million and €10 million. A second plan is planned for the medium term, which will also cover the logistics warehouse in Compiègne (Oise).
C4 intends to better export this living heritage company (EPV), especially to the leading luxury market, the United States, which currently represents only 10% of sales. “Thanks to global leaders like Hermès, LVMH [owner of ‘Les Echos’], and Chanel, France enjoys strong renown and unique expertise in this segment,” argues Pascal Cagni.
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