TAU Investment Management will invest in two sustainable, waterless textile dyeing companies
TAU will obtain significant ownership and board representation
New York- and Hong Kong-based TAU Investment Management, LLC, today announced agreements for two simultaneous investments in highly sustainable, waterless textile dyeing. A special purpose vehicle formed and managed by TAU will acquire significant interests in both DyeCoo Textile Systems, B.V., and CleanDye Holding, B.V., as part of TAU’s strategy to invest in the sustainable, transparent and responsible supply chains of the future.
TAU joins other investors such as Ingka Investments, the investment arm of Ingka Group, together with Nike and Otto Group, along with customers including Decathlon, bonprix, Adidas and others.
Today, the dyeing and treatment of textiles is responsible for fully 20 percent of industrial water pollution globally. DyeCoo’s patented DyeOx technology allows for waterless and chemical-free textile dyeing, making it a valued partner to some of the world’s largest retailers and leading global manufacturers who are also committed to DyeCoo’s sustainable technology.
Through its wholly owned subsidiaries, CleanDye operates the world’s first textile dyeing facility purpose built in Vietnam exclusively to use DyeCoo’s waterless and chemical-free DyeOx technology. CleanDye’s dedicated use of DyeOx technology allows it to offer its customers fabrics dyed with no water, no process chemicals and no wastewater discharge produced in a hazard-free environment — all while realizing 50 percent energy savings and unmatched geographical freedom from water sources.
“This is a unique opportunity to support two organizations bringing a new facet of sustainability to the garment industry,” said TAU CEO Oliver Niedermaier. “We look forward to further application opportunities for the technology in other sectors, such as automotive and beverages.”
Ken Katz, TAU head of Asia investment, said, “In addition to the geographic flexibility and cost savings this technology provides, we’re significantly reducing the environmental footprint through this proprietary dyeing technology.” He also noted that the DyeOx technology is faster and results in better color density than traditional water dyeing methods.
“This technology saves money, reduces environmental impacts, allows for more geographical flexibility and results in better quality products,” Katz said. “That is a tremendous advantage.”
“We look forward to having Tau join as an investor, given the industry expertise, broad network and deep understanding of sustainable supply chains it brings,” said Christian Ehrenborg, Senior Investment Manager, Ingka Investments. “Tau’s unique industry insights will provide a valuable perspective.”
Rien Jansen, bonprix Group Managing Director, said, “With Tau’s vision and commitment to sustainability, this new partnership demonstrates bonprix/Otto Group’s own commitment to help facilitate the transformation of the apparel industry to be more environmentally responsible and sustainable. We see scaling this type of sustainable manufacturing technology as critical to our organization’s mission and for the industry as a whole.”
As part of the agreement, TAU will join the boards of directors of both DyeCoo and CleanDye and will play an active role in contributing its responsible supply chain technology expertise and industry network. Terms of the investments were not disclosed.
TAU is a New York- and Hong Kong-based investment and advisory firm that enables leaders to make critical decisions at every connection point in the global apparel supply chain. In investment management, TAU originates, executes and manages proprietary private equity investments. The firm is a fund manager, participates in single deal vehicles and co-investments, and offers separately managed accounts. In advisory services, TAU provides actionable advice so that businesses can seize opportunities and stay ahead in a rapidly changing environment. Areas of expertise include organic growth strategy, M&A advisory, responsible technology for textile and garment manufacturing, joint ventures, sustainability strategy and implementation, market entry and expansion, and worker safety protocols.
ABOUT INGKA GROUP
With IKEA retail operations in over 32 markets, Ingka Group is the largest IKEA retailer and represents about 90% of IKEA retail sales. It is a strategic partner to develop and innovate the IKEA business and help define common IKEA strategies. Ingka Group owns and operates IKEA sales channels under franchise agreements with Inter IKEA Systems B.V. It has three business areas: IKEA Retail, Ingka Investments and Ingka Centres. Read more on Ingka.com
As an internationally successful fashion retailer, bonprix reaches customers in 30 countries. The company, which is part of the Otto Group and based in Hamburg, was established in 1986 and now employs around 3,700 people worldwide. In fiscal year 2021/22 (February 28, 2022), the bonprix Group generated sales of EUR 1.94 billion, making it one of the best-performing businesses within the Otto Group. At bonprix, customers can enjoy fashion and shopping on all channels – online, via catalogue or in the bonprix store in Hamburg. E-commerce accounts for the lion’s share of sales with around 90 percent. In Germany, www.bonprix.de is one of the twelve highest-grossing online shops and the number three in the fashion sector.* Selling its own brands bpc, bpc selection,
BODYFLIRT, RAINBOW and John Baner, bonprix offers customers fashion with an excellent price-performance ratio. The range includes fashion for women, men and children, accessories as well as home and living products.