TEXAF

TEXAF, formally Société Financière et de Gestion TEXAF, is a Belgian investment company with historical roots in the Belgian Congo and a modern portfolio focused primarily on the Democratic Republic of the Congo. The company was founded on 14 August 1925 as Société Textile Africaine by Valère Lecluse, a textile industrialist from Ronse, together with the Lagache group and other Belgian financial and industrial interests. Its original objective was to establish local cotton processing and textile manufacturing in Léopoldville, now Kinshasa. The company obtained permanent concession rights in 1927, began building its main factory that year and inaugurated the facility in 1928 in the presence of King Albert I of Belgium. During its early decades, TEXAF was much more than a textile producer. It developed or acquired interests in cotton cultivation, ginning, textile production, power generation, water infrastructure, river transport, agriculture, real estate and industrial services. By 1930 it operated or controlled a substantial network of cotton facilities and had become one of the largest Belgian-Congolese enterprises by market capitalization. Its industrial ecosystem included the textile subsidiary Usines Textiles de Léopoldville, later known as UTEXLÉO, and the Société Hydro-électrique de Sanga, a power company created to supply electricity to the textile plant and surrounding areas. TEXAF also subscribed to the capital of the Léopoldville water-distribution company, now associated with REGIDESO, and operated support businesses such as MECELCO and SEMACO. Rapid expansion exposed the company to considerable financial risk. The worldwide economic crisis after 1929, high leverage and the difficulty of managing a geographically broad portfolio produced severe losses in the 1930s. TEXAF responded by transferring or separating activities into specialized entities. Cotton zones were transferred to COTONCO, maritime activities passed to the colonial transport administration, water operations were transferred to public authorities, and real-estate and agricultural assets were placed in IMAFOR. The textile factories were transferred to UTEXLÉO in 1934, while TEXAF increasingly functioned as a holding company. The collapse of Crédit Anversois in 1939 added further instability, and the Second World War interrupted the related liquidation process. UTEXLÉO nevertheless remained an important industrial operation. It expanded during the war to address severe shortages of locally produced textiles, added printing capacity and modernized its plant. After the war, the group diversified into blankets, sacks, hosiery, laundry services, construction materials and other manufacturing activities. The post-war period also included a substantial worker-welfare initiative that helped lead to the construction of the Kintambo maternity facility, opened in 1953. Political and economic changes after Congolese independence reshaped the group. UTEXLÉO was nationalized in 1974 and renamed UTEXCO during Zaire's Authenticité campaign. TEXAF regained control in 1976. It returned to cotton through Cotonnière du Kasai-Maniema, increased its participation during the 1980s and acquired or developed interests including SOLBENA and ESTAGRICO. In 1987, COBEPA became TEXAF's majority shareholder. In 1988, textile operations were consolidated under the UTEXAFRICA name, bringing together UTEXCO, Zaïreprint and Otricot-Super Star. The late twentieth century was marked by declining industrial conditions and financial strain. A subsidiary serving Gécamines, MECELCO, experienced payment problems, while UTEXAFRICA accumulated substantial debt. UTEXAFRICA entered bankruptcy proceedings in 2001, but a settlement supported by COBEPA allowed operations to continue. In June 2002, a management-led transaction transferred control of TEXAF to SOFINA, with a minority allocation to UTEXAFRICA executives Albert Yuma Mulimbi and Jean-Philippe Waterschoot. TEXAF attempted to consolidate its textile operations through a 2004 framework agreement with China's CHA Textiles Group. The proposed Congotex venture included wax-fabric activities, while TEXAF retained a 43% interest; the partners also established the IMMOTEX real-estate company. Textile manufacturing in the Democratic Republic of the Congo ultimately ceased in 2007 when Congotex entered liquidation. This effectively ended TEXAF's historic textile-centered business model and accelerated its transition toward property and other investment activities. The company subsequently concentrated more heavily on real estate and selected industrial assets. It acquired ANAGEST in 2007, adding three residential complexes, and acquired the remaining 50% of construction-materials company CARRIGRES in 2009 for EUR 5.75 million. In 2014, CHA Textiles Group acquired a 10% interest in TEXAF, while the group also disposed of its interest in IMBAKIN. In its contemporary form, TEXAF presents itself as an investment holding company able to take equity interests in industrial, commercial and civil enterprises and to provide technical, administrative and financial support. Its operating exposure remains centered on the Democratic Republic of the Congo, particularly real estate, industrial materials and digital or technology-related businesses, while its corporate base and stock-market identity remain Belgian.

TEXAF's history began with the attempt by Valère Lecluse to establish locally processed cotton and textile production in the Belgian Congo. The Société Textile Africaine was incorporated in 1925 with backing from the Lagache textile group and other Belgian interests. Its factory in Léopoldville began operating in the late 1920s and quickly expanded from spinning and weaving into dyeing, printing, cotton cultivation and related infrastructure. TEXAF also helped develop electricity and water infrastructure, including the Sanga hydroelectric enterprise and participation in the Léopoldville water-distribution company. The company's rapid expansion produced a broad but financially vulnerable industrial group. By 1930 it controlled numerous cotton facilities and agricultural concessions, but the global economic crisis, debt-financed growth and falling textile prices caused escalating losses. During the 1930s TEXAF transferred cotton, maritime, water, agricultural and real-estate activities to separate entities and placed its textile assets in UTEXLÉO. The restructuring converted TEXAF into a holding company. The failure of Crédit Anversois in 1939 created another ownership and financing complication, while wartime conditions left UTEXLÉO carrying heavy obligations. World War II generated strong demand for locally made textiles. UTEXLÉO expanded its plant and later added printing and other manufacturing capabilities. After the war, the group diversified into blankets, sacks, hosiery, laundry services, construction materials and industrial maintenance. It also funded worker-welfare infrastructure, including the medical-social facility that became Kintambo Maternity Hospital. Following Congolese independence, the group faced nationalization and changing state policy. UTEXLÉO became UTEXCO in 1974, but TEXAF regained control in 1976. During the 1970s and 1980s it returned to cotton, acquired agricultural and industrial interests and consolidated several businesses under UTEXAFRICA. COBEPA became the majority shareholder in 1987. The 1990s and early 2000s brought financial and operational pressure. Contractual payment problems affected MECELCO, and UTEXAFRICA eventually entered bankruptcy proceedings in 2001. A settlement supported by COBEPA preserved the business, followed by a 2002 management-led transaction that placed control of TEXAF with SOFINA. TEXAF then sought a strategic partnership with CHA Textiles Group through Congotex and IMMOTEX. Congotex was liquidated in 2007, ending textile manufacturing in the DRC and leaving real estate as the central direction of the group. TEXAF subsequently expanded its property portfolio through the acquisition of ANAGEST and consolidated its construction-materials exposure by acquiring the remaining CARRIGRES interest. The company also recorded changes in its relationship with CHA, including CHA's acquisition of a 10% interest in TEXAF in 2014. Today, TEXAF is best understood as a Belgian-listed investment holding company with substantial Congolese operating exposure, particularly in real estate, construction materials and digital ventures.

• 2009

  CARRIGRES fully consolidated

  [1]TEXAFen.wikipedia.org

  TEXAF acquired the remaining half of its construction-materials subsidiary.

• 2007

  Textile manufacturing ends

  [1]TEXAFen.wikipedia.org

  Congotex entered liquidation, accelerating TEXAF's transition toward real estate and other investments.

• 2002

  SOFINA becomes controlling shareholder

  [1]TEXAFen.wikipedia.org

  A management-led transaction transferred an 82.1% interest in TEXAF to Société Financière Africaine.

• 1988

  UTEXAFRICA created

  [1]TEXAFen.wikipedia.org

  Several textile, printing and hosiery operations were consolidated under one umbrella.

• 1976

  Control of UTEXCO recovered

  [1]TEXAFen.wikipedia.org

  TEXAF regained control of its former textile subsidiary.

• 1974

  UTEXLÉO nationalized

  [1]TEXAFen.wikipedia.org

  The textile operation was taken into state ownership and renamed UTEXCO.

• 1934

  Industrial assets reorganized

  [1]TEXAFen.wikipedia.org

  Textile, real-estate, agricultural and other activities were separated into specialized subsidiaries as TEXAF became a holding company.

• 1930

  Sanga hydroelectric venture founded

  [1]TEXAFen.wikipedia.org

  TEXAF and Crédit Anversois established a power company serving the textile plant and the surrounding region.

• 1928

  Léopoldville textile factory inaugurated

  [1]TEXAFen.wikipedia.org

  The principal factory opened and TEXAF became one of the largest Belgian-Congolese enterprises by market capitalization.

• 1925

  Société Textile Africaine established

  [1]TEXAFen.wikipedia.org

  TEXAF was founded in the Belgian Congo with the initial objective of developing cotton processing and textile manufacturing.

A Belgian-listed investment holding company using long-term capital and local operating platforms to invest in real estate, industrial assets and emerging digital businesses in the Democratic Republic of the Congo.

• Property investment and development · 2007

  Real estate

  Real estate became TEXAF's principal strategic focus after the liquidation of Congotex and the end of textile production in 2007. The group has invested in residential and other property assets in Kinshasa, including through IMMOTEX and the acquisition of ANAGEST, which owned three residential complexes.

• Construction materials

  CARRIGRES

  CARRIGRES is TEXAF's construction-materials subsidiary. TEXAF acquired the remaining 50% interest in 2009, consolidating its exposure to industrial materials used in the Congolese construction market.

• Cotton and textiles · 1928

  Textile manufacturing

  TEXAF's historic core included cotton cultivation, ginning, spinning, weaving, dyeing, printing, blankets, sacks, hosiery and clothing. These activities were progressively reorganized under UTEXLÉO, UTEXCO and UTEXAFRICA, and textile manufacturing in the DRC ended when Congotex entered liquidation in 2007.

• Digital and technology businesses

  Digital investments

  In its modern portfolio, TEXAF has described digital activities as one of its investment areas alongside real estate and industry. Specific products and operating brands are not identified in the supplied material.

• 2009

  Acquire the remaining CARRIGRES interestM&A

  Background

  After moving away from textiles, TEXAF sought to consolidate a strategic industrial-materials asset.

  Action taken

  TEXAF acquired the remaining 50% of CARRIGRES for EUR 5.75 million.

  Aftermath

  CARRIGRES became a fully consolidated construction-materials activity within the portfolio.

  Acquisition price. EUR 5.75 million (2009)

  Source

• 2004

  Form Congotex with CHA Textiles GroupM&A

  Background

  TEXAF sought to consolidate its remaining textile and wax-fabric operations through a strategic partnership.

  Action taken

  TEXAF and CHA agreed on a framework for Congotex, with TEXAF retaining a 43% interest, and also established IMMOTEX for real estate.

  Aftermath

  Congotex entered liquidation in 2007, while real estate became increasingly central to TEXAF's strategy.

  Source

• 2002

  Transfer control to SOFINAM&A

  Background

  Financial stress surrounding UTEXAFRICA and the group's debt position required a new ownership and governance structure.

  Action taken

  A management-led transaction led by Philippe Croonenberghs transferred an 82.1% TEXAF interest to Société Financière Africaine, with an additional allocation to UTEXAFRICA executives.

  Aftermath

  The transaction stabilized control and preceded TEXAF's later shift away from textiles toward real estate and other investments.

  Source

• 1974

  Respond to nationalization of UTEXLÉOStrategy

  Background

  Zaire's Authenticité policy brought the textile subsidiary into state ownership.

  Action taken

  UTEXLÉO was nationalized and renamed UTEXCO.

  Aftermath

  TEXAF regained full control in 1976 and continued to reorganize its industrial portfolio.

  Source

• 1934

  Convert TEXAF into a holding structureStrategy

  Background

  The economic crisis and losses caused by overexpansion made the original integrated industrial model financially unsustainable.

  Action taken

  TEXAF transferred textile, agricultural, real-estate, maritime and water activities into specialized entities, including UTEXLÉO and IMAFOR.

  Aftermath

  The company became a portfolio-oriented holding entity while the operating subsidiaries carried out the industrial activities.

  Source

• 2014

  CHA Textiles Group takes interest in TEXAF[1]TEXAFen.wikipedia.org

  M&A

  CHA Textiles Group acquired a 10% interest in TEXAF.

• 2009

  TEXAF acquires remaining CARRIGRES stake[1]TEXAFen.wikipedia.org

  M&A

  TEXAF acquired the remaining 50% of its construction-materials subsidiary CARRIGRES for EUR 5.75 million.

• 2007

  Congotex liquidation ends textile manufacturing[1]TEXAFen.wikipedia.org

  Bankruptcy

  Congotex entered liquidation, marking the effective end of TEXAF's textile manufacturing activities in the Democratic Republic of the Congo.

• 2004

  TEXAF and CHA Textiles Group create Congotex framework[1]TEXAFen.wikipedia.org

  M&A

  The parties planned a joint venture to consolidate textile and wax-fabric activities, with TEXAF retaining a 43% stake.

• 2002

  Management-led transaction transfers TEXAF control to SOFINA[1]TEXAFen.wikipedia.org

  M&A · Leadership change

  A transaction led by Philippe Croonenberghs transferred an 82.1% interest to Société Financière Africaine, with a further equity allocation to UTEXAFRICA executives.

• 2001

  UTEXAFRICA enters bankruptcy proceedings[1]TEXAFen.wikipedia.org

  Bankruptcy

  Mounting debt, including obligations to the IFC, led UTEXAFRICA into bankruptcy proceedings before a settlement allowed operations to continue.

• 1988

  Textile activities consolidated under UTEXAFRICA[1]TEXAFen.wikipedia.org

  Other

  TEXAF combined UTEXCO, Zaïreprint and Otricot-Super Star under the UTEXAFRICA umbrella.

• 1987

  COBEPA becomes TEXAF majority shareholder[1]TEXAFen.wikipedia.org

  M&A

  COBEPA acquired an 82% stake in TEXAF.

• 1976

  TEXAF regains control of UTEXCO[1]TEXAFen.wikipedia.org

  Other

  TEXAF recovered full control of the nationalized textile business.

• 1974

  UTEXLÉO nationalized and renamed UTEXCO[1]TEXAFen.wikipedia.org

  Regulation

  Zaire nationalized the textile operation during the Authenticité campaign.

Showing the 10 most recent.

1. 1TEXAFen.wikipedia.org