PARIS — The LVMH Watches Division has acquired a minority stake in Swiss manufacturer La Joux-Perret.
Financial terms of the deal were not disclosed.
They concurrently struck a strategic commercial partnership to provide new production and innovation capabilities for LVMH Moët Hennessy Louis Vuitton’s watchmaking brands that include Hublot, Tag Heuer and Zenith.
The watchmaking brands have over the past few years been collaborating with La Joux-Perret, which designs and produces high-quality watch movements. Tag Heuer, for instance, has worked with it to develop a solar quartz movement. That innovation features in the brand’s Aquaracer and Tag Heuer Formula 1 collections.
LVMH said in a statement released Wednesday morning that both have “met with great success and illustrates the quality and momentum of the relationship between two partners committed to watchmaking excellence.”
The partnership also has borne a movement that powers Tiffany & Co.’s Rope watch.
“We are pleased to strengthen our ties with La Joux-Perret,” said Jean-Christophe Babin, chief executive officer of the LVMH Watches Division, in the statement. “Their technical mastery, industrial excellence and deep roots in the Swiss watchmaking landscape make it an ideal partner for our watchmaking maisons.
“Together, we aim to lead the way in sustainable high-precision watch movements, leveraging our unmatched expertise in solar energy,” Babin continued.
Yoshitaka Oji, president and CEO of Citizen Watch Group, parent company of La Joux-Perret, said, “We are delighted to welcome LVMH to the capital of La Joux-Perret and to celebrate the reinforcement of their commercial relationship.
“This strategic alliance with a key partner confirms the recognition of its expertise and opens new long-term development prospects,” he added. “With this solidified partnership, La Joux-Perret will supply movements with outstanding performance and, together with the LVMH group, contribute to the development of the Swiss watch industry.”
Inside La Joux-Perret’s quartz atelier.
Courtesy of LVMH
LVMH said the minority stake in La Joux-Perret and the consolidation of their commercial partnership is part of its Watches Division’s long-term plan to strengthen ties with exceptional industrial partners and support the group’s investment in Switzerland. That is the heart of watchmaking worldwide and where LVMH counts 16 manufacturers.
La Joux-Perret remains fully independent, and is to continue serving its current and future clients. Parent Citizen Group, which also owns several watch brands, will keep operating independently, as well.
La Joux-Perret is based in La Chaux-de-Fonds, Switzerland. The company employs about 140 people and controls its entire value chain, from development to final assembly. The company was acquired by Citizen Group in 2012.
