Delvaux becomes Chinese

Delvaux becomes Chinese

Fung Brands, an investment vehicle of the Hong-Kong-based Fung family, is taking a majority stake in Belgian luxury leather company Delvaux for an unspecified amount. Delvaux, which was set up in 1829, is the oldest leather goods company in the world. The Schwennicke family, the only shareholder since 1933, still holds a minority participation.

The arrival of a new shareholder is no surprise. It was announced in July 2010 that Delvaux was looking for an industrial partner to accelerate the company’s growth at international level.

Fung Brands was created only a few months ago. It is a private investment vehicle active in the quality brand sectors. It is managed by the Fung family from Hong Kong, which is also the reference shareholder of the listed Li&Fung group, an outsourcing specialist for the retail sector.

Fung Brands’ first investment was Robert Clergerie, the famous French shoe designer. Jean-Marc Loubier, who has a long career and plenty of experience in the luxury and fashion sector, including at Louis Vuitton’s and Céline’s, is at the helm of Fung Brands, which clearly has strong ambitions.

A family business

Until now, Delvaux was a 100% family business. It was set up in 1829 by Charles Delvaux and is the oldest leather goods company in Europe. The first model was patented in 1908 (the Edison Trunk). The range was extended to include luggage, boxes, suitcases and, as of the beginning of the 20th century, ladies’ handbags.

The company was taken over by the Schwennicke family in 1933. Franz Schwennicke was the first to introduce seasonality into leather goods collections.

Solange Schwennicke, Franz’s wife, contributed to the creative side as of 1970 and started developing the business at international level. She focused even more on the traditional savoir-faireof the craft.

François Schwennicke, Franz and Solange’s eldest son, took on the position of Production Manager in 1990 and subsequently became Executive Chairman of the company. In 2008, Christian Salez was brought in as CEO. Together with Véronique Branquinho, who became Artistic Director and a new partner, he was tasked with modernising the brand and making it grow internationally.

In the financial year ending in July, the company will likely have made a small profit on a turnover of EUR 18 million. The company’s cash flow is estimated at around EUR 800,000, whereas it still stood at -EUR 6.7 million two years ago.

Delvaux, entre tradition et modernité

STÉPHANIE BOCART Publié le vendredi 25 mai 2007 à 00h00 - Mis à jour le vendredi 25 mai 2007 à 00h00

BRUXELLES

Nous avons le savoir-faire, à présent il faut le faire savoir", affirme François Schwennicke, administrateur-délégué de la maroquinerie Delvaux. Créée en 1829 par Charles Delvaux, la Maison Delvaux est le plus vieux maroquinier du monde. En 178 ans, la

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