The world’s leading watchmaker, Swatch, said on Mondayis to acquire Harry Winston, US-based jeweller and watchmaker, for up to USD 1 billion (750 million euros).
The Swiss group will pay $750 million to acquire the company and add a maximum of $250 million to take over its net debt, according to the company’s statement.
Swatch plans to acquire the Harry Winston brand and all the activities related to its jewelry and watches business, as well as 535 of its employees worldwide.
Swatch chairwoman Nayla Hayek said the deal made sense since “Harry Winston does brilliantly complement the prestige segment of the [Swatch] Group.”
The transaction, which still needs the go-ahead from regulatory authorities, does not include the mining activities of the Harry Winston Diamond Corporation.
Hopefully this deal doesn’t meet the same fate as UPS and TNT with regulators.
“United Parcel Service Inc. (UPS), the world’s biggest package- delivery company, terminated a 5.16 billion-euro ($6.9 billion) bid for TNT yesterday after European regulators signaled they may block the deal.
“TNT plunged 41 percent to 4.84 euros for the lowest multiples of profit and sales since the Hoofddorp, Netherlands-based company was spun off in 2011”, according to Bloomberg. And, all eyes are on FedEx to see if they will save the day.
via AFP-relaxnews, Bloomberg Businessweek