Breitling sells 80% stake to Private Equity Company; Tiffany to pay Swatch Group $450Million

   
 
 

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Breitling sells 80% stake to Private Equity Company.

Breitling sold eighty percent of its shares to the large European-based private equity firm CVC Capital Partners. The deal values the company at more than 800 million euros ($874.6 million). 

The transaction is expected to close in June, with CVC Fund VI acquiring an 80% stake in Breitling SA, CVC Capital Partners said in a statement today. As part of the transaction, Breitling's current majority owner Theodore Schneider will reinvest in exchange for a 20% stake. 

CVC is paying about 2 times trailing 12-months sales.

 

Tiffany to pay Swatch Group $450Million.

Tiffany & Co. loses appeal on Swatch Group $450 million (CHF 402.7 million) in damages from their failed joint watch venture, Tiffany reported. 

The two companies established a partnership in December 2007 to produce and market watches under the Tiffany brand, but the deal ended in a bitter and expensive court battle. Swatch sued Tiffany in December 2011 for breach of contract, prompting Tiffany to countersue a few months later. Swatch ultimately won the arbitration before a panel of judges in December 2013.

Tiffany has the right to appeal the decision further to the Supreme Court of the Netherlands, the company noted. If it chooses to do so, management expects the annulment will only be resolved during the fiscal year ending January 31, 2019. 

 
 
 
 

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