Kravet Buys GP&J Baker, Parkertex; Crowson Winds Up With Monkwell
June 26, 2001
Bethpage, NY (USA) – In a bidding race almost too close to call, U.S.-based Kravet Fabrics Corp. has completed its acquisition of the assets of GP&J Baker and Parkertex, and U.K.-based Crowson Fabrics acquired the Monkwell brand from Silentnight Holdings Plc, a bedding and furniture manufacturer based near Manchester.
The assets sold to Kravet include the 50-year-old Parkertex brand, a mid-level fabric line and the 117-year-old GP&J Baker line of traditional high-end fabrics. These brands will be sold individually alongside the existing Kravet brand Lee Jofa, an American inspired hand block print line operating since 1823 and Mulberry Home, an English luxury line.
"In the Baker archive, we have every Baker sample ever made since 1893," said Cary Kravet, president. (Kravet itself was founded in 1918 and is under its fourth generation of management.) "It contains a phenomenal collection of nineteenth century English prints, including the best toile designs ever produced in England as well as Coptic textiles from the seventh century and pre-Colombian textiles from Peru.
"Kravet realized it best could succeed in Europe acting and marketing as a European company — not as an American firm," said Kravet. "Having represented Baker and Mulberry for six years prior to this purchase, we knew these lines well." Kravet now has three showrooms in Europe: one for Kravet, one for Mulberry and Lee Jofa and a new Baker and Parkertex showroom on Kings Road in London. "We expect to do significant business with these new brands in Europe with our newly acquired agents and staff," he said.
Kravet feels that the high-end fabrics business is not growing overall but that Kravet's high-end business is growing with an increased share of the market. "Kravet can realize synergies between these brands by using our behind the scenes expertise in warehouse management, sample book production and global sourcing," Kravet explained.
"We will continue to search for acquisitions in Europe and in the U.S.A., especially in the contract area." He pointed to Kravet's successful track record with the previous acquisitions of Lee Jofa and Mulberry Home.
Silentnight had owned the Baker, Parkertex and Monkwell firms for less than six months when it bought them along with Parker Knoll Furniture and Cornwell Parker brands in December 2000. At the same time, Silentnight will retain K. Raymakers, a U.K. velvet upholstery manufacturer.
Kravet paid £2.7 million for the two high-end editor brands, which had sales of £10 million, according to Kravet, president of the fourth generation family wholesaler with sales of $250 million. He expects the new lines to produce $30-$40 million in sales and boost the company's worldwide sales to $300 million in the next few years. At that level, Kravet may be the largest fabric wholesaler in the world.
Crowson Fabrics acquired the Monkwell brand from Silentnight Holdings, also for £2.7 million about one month earlier on 11 May. "We have exciting plans for the new brands," said Derek Crowson, chairman of Crowson. The company expects to position the Monkwell brand between Crowson and its other recently acquired brand Hill & Knowles, an industry source said. Crowson said that the only way to grow the fabric business today is through the acquisition of other firms Both Kravet and Crowson were the final bidders for the companies but were in and out of the bidding process over a six-month period. Part of the problem was Silentnight's insistence that the sale of its warehouse in Burnley near Manchester should be part of the deal. In the end, Silentnight retained this real estate and the deal was finally struck with Crowson and then Kravet, it was learned.
In the short term, Kravet will use the current Silentnight-owned warehouse in Burnley but will gradually move the stock to its own warehouse in Bournemouth. (Bournemouth is also the home of KLJM Ltd., the Kravet-owned company in Europe managed by Peter Hill.) Andrew Krisson was recently hired by KLJM Ltd. after 18 years with Zoffany to work with Hill in managing the new business. (The Burnley facility owned by Silentnight will continue to cut fabrics for Sanderson, recently bought out by its management.)
Kravet said it will also maintain an existing Baker design studio based in High Wycombe, 30 minutes from London.
The assets sold to Kravet include the 50-year-old Parkertex brand, a mid-level fabric line and the 117-year-old GP&J Baker line of traditional high-end fabrics. These brands will be sold individually alongside the existing Kravet brand Lee Jofa, an American inspired hand block print line operating since 1823 and Mulberry Home, an English luxury line.
"In the Baker archive, we have every Baker sample ever made since 1893," said Cary Kravet, president. (Kravet itself was founded in 1918 and is under its fourth generation of management.) "It contains a phenomenal collection of nineteenth century English prints, including the best toile designs ever produced in England as well as Coptic textiles from the seventh century and pre-Colombian textiles from Peru.
"Kravet realized it best could succeed in Europe acting and marketing as a European company — not as an American firm," said Kravet. "Having represented Baker and Mulberry for six years prior to this purchase, we knew these lines well." Kravet now has three showrooms in Europe: one for Kravet, one for Mulberry and Lee Jofa and a new Baker and Parkertex showroom on Kings Road in London. "We expect to do significant business with these new brands in Europe with our newly acquired agents and staff," he said.
Kravet feels that the high-end fabrics business is not growing overall but that Kravet's high-end business is growing with an increased share of the market. "Kravet can realize synergies between these brands by using our behind the scenes expertise in warehouse management, sample book production and global sourcing," Kravet explained.
"We will continue to search for acquisitions in Europe and in the U.S.A., especially in the contract area." He pointed to Kravet's successful track record with the previous acquisitions of Lee Jofa and Mulberry Home.
Silentnight had owned the Baker, Parkertex and Monkwell firms for less than six months when it bought them along with Parker Knoll Furniture and Cornwell Parker brands in December 2000. At the same time, Silentnight will retain K. Raymakers, a U.K. velvet upholstery manufacturer.
Kravet paid £2.7 million for the two high-end editor brands, which had sales of £10 million, according to Kravet, president of the fourth generation family wholesaler with sales of $250 million. He expects the new lines to produce $30-$40 million in sales and boost the company's worldwide sales to $300 million in the next few years. At that level, Kravet may be the largest fabric wholesaler in the world.
Crowson Fabrics acquired the Monkwell brand from Silentnight Holdings, also for £2.7 million about one month earlier on 11 May. "We have exciting plans for the new brands," said Derek Crowson, chairman of Crowson. The company expects to position the Monkwell brand between Crowson and its other recently acquired brand Hill & Knowles, an industry source said. Crowson said that the only way to grow the fabric business today is through the acquisition of other firms Both Kravet and Crowson were the final bidders for the companies but were in and out of the bidding process over a six-month period. Part of the problem was Silentnight's insistence that the sale of its warehouse in Burnley near Manchester should be part of the deal. In the end, Silentnight retained this real estate and the deal was finally struck with Crowson and then Kravet, it was learned.
In the short term, Kravet will use the current Silentnight-owned warehouse in Burnley but will gradually move the stock to its own warehouse in Bournemouth. (Bournemouth is also the home of KLJM Ltd., the Kravet-owned company in Europe managed by Peter Hill.) Andrew Krisson was recently hired by KLJM Ltd. after 18 years with Zoffany to work with Hill in managing the new business. (The Burnley facility owned by Silentnight will continue to cut fabrics for Sanderson, recently bought out by its management.)
Kravet said it will also maintain an existing Baker design studio based in High Wycombe, 30 minutes from London.
