Editions:  Austria · Denmark · France · Germany · Italy · Norway · Spain · Sweden · Switzerland

Hermès buys stake in Swiss luxury watchmaker

Share this article

Hermès buys stake in Swiss luxury watchmaker
Photo: Scarlet Green
10:42 CEST+02:00
The watch subsidiary of French luxury group Hermès says it has bought control of a Swiss watchmaking firm, Joseph Erard Holding, boosting its strategy in making high-end timepieces.

La Montre Hermès said in a statement it had raised its previous 32.5 percent stake it has held since September 2011 in the Swiss family-run firm to an unspecified level giving it a controlling majority share.

"For Hermes, this operation is a natural part of a continuing effort to master the craft of watchmaking," the French group said.

Joseph Erard Holding specialises in making watch casings. Hermes last year took control of another Swiss company, Nateber, which makes watch faces. In 2006, Hermes took a stake in Vaucher, a Swiss company that makes mechanical movements inside watches.

Watches are a small but growing segment in Hermès's product lines. Last year, the subsidiary expanded sales 17 percent to €173 million ($225 million), which accounts for five percent of Hermes total group revenues.

Get notified about breaking news on The Local

Share this article

From our sponsors

Change the world with a master's degree from Sweden's Linköping University

Master's students at world-leading Linköping University (LiU) aren't there simply to study. They solve real-world problems alongside experts in fields that can create a better tomorrow. Do you have what it takes to join them?

Advertisement