LONDON – Signalling the dynamism in the branded fine jewelry market, Watches of Switzerland Group has acquired 100 percent of Roberto Coin Inc. for $130 million.
Brian Duffy, chief executive officer of Watches of Switzerland, which already stocks Roberto Coin jewelry in some of its stores, said there was opportunity for the group to leverage its retail expertise, and move into luxury branded jewelry in North America.
“We have partnered with Roberto Coin for over a decade in the U.S., retailing its elegant jewelry in a number of our Mayors’ showrooms. It is a hugely popular, growing brand, occupying a strong position in the market, underpinned by product quality, design creativity and imagination,” Duffy said.
Duffy added that the luxury branded jewelry category has consistently outperformed the wider jewelry sector, “and we see further strategic and operational opportunities for the business within the broader group.”
He described the acquisition as “strategically and financially attractive” and indicative of the group’s ambition and momentum in the jewelry category.
Roberto Coin is the sixth largest jewelry brand in the U.S., the world’s largest branded jewelry market.
Duffy said the group plans to leverage its operational and retailing expertise to drive incremental growth at Roberto Coin Inc., both across the jeweler’s wholesale distribution network, its retail boutiques, and online.
Roberto Coin, founder and CEO of the jeweler, described the acquisition as a “significant step change” in the development of the brand, which also has thriving businesses in Europe and the Middle East.
He said Watches of Switzerland has “a real understanding and appreciation of our unique, world-class brand and products, and can accelerate our retail strategy in North and Central America.
“We look forward to benefitting from their wealth of luxury retail and digital experience to unleash the growth potential of the Roberto Coin brand across our chosen markets,” Coin added.
Watches of Switzerland said the acquisition of the North American business was completed for a total cash consideration of $130 million, of which $10 million is deferred for one year and contingent on the future profitability of the acquired business.
Roberto Coin Inc. achieved annual revenue of $146.2 million and profit before taxation of $30.1 million for the financial year ended Dec. 31, 2022. Gross assets at that date were $87.9 million. The company’s 2023 preliminary and unaudited revenue was $138.7 million, and profit before taxation was $30.2 million in the region.
Roberto Coin Inc. sells through major department stores, jewelry chains, and independent jewelers in more than 400 points of sale in North America.
Watches of Switzerland has been carrying the brand for more than a decade, and it is currently available in 16 of its stores in the U.S.
The deal comes within days of Richemont’s acquisition of the Italian jeweler Vhernier, which was founded in Valenza, Italy, as a goldsmith’s workshop, and is headquartered in Milan.
Richemont chairman Johann Rupert said earlier this week that his company would be working closely with the Vhernier team to realize the full potential of the brand within “the thriving branded jewelry market.”
