Harry Winston sells luxury brand segment to watchmaker Swatch
TORONTO (miningweekly.com) – Diamond miner and jeweller Harry Winston Diamond on Monday announced it had agreed to sell its luxury goods segment to Swiss watchmaker The Swatch Group in a $750-million deal which would allow Harry Winston to focus on its mining activities.
Under terms of the deal Swatch would also assume $250-million of pro forma net debt.
Harry Winston chairperson and CEO Robert Gannicott said the transaction represented a sound return on the company’s original investment.
“It will leave us well equipped to realise upstream opportunities in an environment where cash has become a strategic resource while preserving and expanding our relationship with the downstream diamond business,” Gannicott said in a statement.
Under the terms of the sale agreement, the company had agreed to trade under a new name – Dominion Diamond – as from the close of the transaction.
Harry Winston expected to retain an ongoing relationship with Swatch, one of the world's largest buyers of polished diamonds, which would see them sourcing polished diamonds for Swatch.
The two companies will also explore the opportunities for a joint diamond-polishing venture, which would bring together the manufacturing and diamond expertise of the two companies.
Rothschild advised Harry Winston on the transaction and provided a fairness opinion. The transaction is subject to receipt of a variety of regulatory approvals and other customary closing conditions.
Harry Winston’s Toronto-listed shares climbed 5.61% on news of the transaction, to trade at C$15.07 apiece on Monday.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
As a reticulator, Egoli Gas provides natural gas to homes and businesses via underground pipes.
VISIT SHOWROOM
For over 60 years, VEGA has provided industry-leading products for the measurement of level, density, weight and pressure. As the inventor of the...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
