Nicola Jenvey

KwaZulu-Natal Correspondent

DURBAN — Industrial textile and consumer group KAP International Holdings has reshuffled some of its property holdings, and would use the cash generated to reduce debt, the group said yesterday.

Wholly owned subsidiary Feltex Holdings would acquire various industrial properties from Courthiel Holdings and Conrapp Properties, also KAP subsidiaries, for R55,1m, while another wholly owned unit, Kolosus Investments, would sell an industrial property to another subsidiary, African Hide Trading, for R5,5m.

German entrepreneur Claas Daun is the controlling shareholder of all the companies involved. The deals would have a small effect on KAP earnings.

Daun formed KAP last October from the consolidation of towelling group Glodina and various unlisted motor, textile and clothing companies with food and automotive leather processor Kolosus Holdings.

Courtheil Holdings MD Paul Schouten said Feltex was buying properties currently occupied by its manufacturing operations, which required specific alterations. Feltex also needed flexibility of capacity, and this would be better achieved if the properties were owned, he said.