Swatch Increase Acquisition To Acquire Dubai Retail Group Rivoli

< p > the world's largest watch manufacturer, "a href=" //www.sjfzxm.com/news/index_c.asp "> SwatchGroup < /a > Ltd. (UHR.VX), Swatch group today announced the purchase of a 18% stake in the retail group of Dubai from the DubaiHoldingLLC investment fund of the Royal Bank of Dubai by TechnocorpHoldingLtd. of its subsidiary company. Neither side disclosed the details of the paction, but according to foreign media, analysts estimate that the paction price is about 100 million Swiss francs.

After the paction, the shareholding ratio of SwatchGroupLtd. (UHR.VX) Swatch will increase from 40% to 58%, forming a holding company.

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< p > RivoliInvestmentsLLC is mainly engaged in watch retail business, including SwatchGroupLtd. (UHR.VX) brand of Swatch, and has more than 360 retail outlets in the Middle East, with more than 1500 employees.

Vontobel, an analyst at Swiss private bank ReneWeber, estimates that RivoliInvestmentsLLC60%'s sales come from the brand of SwatchGroupLtd. (UHR.VX) Swatch group.

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< p > Middle East is "a href=" //www.sjfzxm.com/news/index_c.asp "Switzerland watch" /a "one of the fastest growing export markets.

In the first ten months of this year, Swiss watches increased 13.3% of the total value of exports to the United Arab Emirates last year, reaching 771 million 500 thousand Swiss francs, making the UAE the tenth largest market of Rui table export.

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< p > ExaneBNPParibas France Paris bank analyst LucaSolca forecast SwatchGroupLtd. (UHR.VX) Swatch this time through holding RivoliInvestmentsLLC to integrate the Middle East retail channel will bring faster sales growth and better business performance.

ReneWeber told Reuters that the addition of RivoliInvestmentsLLC will only contribute 1% of sales to SwatchGroupLtd. (UHR.VX) Swatch in 2014.

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< p > LucaSolca predicts that the next integration target of SwatchGroupLtd. (UHR.VX) Swatch will be Hendry, the largest watch retailer in Greater China.

At present, SwatchGroupLtd. (UHR.VX) Swatch holds 9% of Hendry's (3389.HK) share and is the second largest shareholder of the latter. If Hendry (3389.HK) chairman Zhang Yuping paid 500 million (Hendry) shares to SwatchGroupLtd. (UHR.VX) Swatch in 2011 for a 100 million year, three year private loan, the actual shareholding ratio of SwatchGroupLtd. (UHR.VX) Swatch was 20.42%.

And LVMHMo? THennessyLouisVuittonSA (LVMH.PA) MOET & CHANDON Hennessy - a href= "//www.sjfzxm.com/news/index_c.asp" > LV < /a > group also owns Hendry (3389.HK) 6.4% of the shares.

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Besides P, SwatchGroupLtd. (UHR.VX) Swatch also holds AlzoumanGeneralTradingCo.Ltd.33% equity in Saudi Arabian retailer.

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