Watches of Switzerland Group (WoSG) has paid $130 million to acquire Roberto Coin Inc., which holds distribution rights for the Italian jewelry brand in the United States, Canada, Central America, and the Caribbean.

The deal does not include Vicenza, Italy–based parent company Roberto Coin S.P.A.

“This in no way affects manufacturing or Roberto’s business outside” the specified regions, David Hurley, WoSG deputy CEO and president, North America, tells JCK.

Roberto Coin Inc. will operate as an independent, stand-alone company within the Watches of Switzerland Group, with the Coin family retaining a seat on its board of directors. Peter Webster is staying on as president, a position he’s held for 28 years, and will report to Hurley.

Roberto Coin Inc. posted annual revenue of $146.2 million and $30.1 million of pre-tax profits in 2022, WoSG said. In 2023, its revenue dipped slightly to $138.7 million, but it earned a pretax profit of $30.2 million.

In a presentation, Watches of Switzerland called Roberto Coin the sixth largest jewelry brand by retail value in the United States. (The other five, starting from the top: Tiffany & Co., Cartier, David Yurman, Van Cleef & Arpels, and Bulgari. All are owned by conglomerates except Yurman.)

In North America, Roberto Coin primarily is sold wholesale to more than 400 points of sale, including department stores, jewelry chains, and independent jewelers.

This will mean that Watches of Switzerland will be selling to retail competitors, though Hurley says, “I have never looked at other U.S. watch and jewelry retailers in the United States as competitors. A rising tide floats all boats. These partners are the backbone of the success of Roberto Coin and we are looking forward to growing the Roberto Coin business together with them.”

WoSG also plans to increase direct-to-consumer efforts, which will include opening up new Roberto Coin mono-brand boutiques and franchise stores, as well as shop-in-shops in WoSG-owned Mayors Jewelers. (Roberto Coin already has four mono-brand stores in the United States, with the primary one in Miami’s Design District. All are part of this deal.)

In its statement, Watches of Switzerland CEO Brian Duffy noted that while its growth primarily has come from watch sales, it sees opportunities in fine jewelry, which accounted for only 7% of sales in fiscal year 2023. “The luxury branded jewelry category has consistently outperformed the wider jewelry sector,” he said.

The $130 million will be paid in cash, though not all in once; $10 million will be deferred for one year, contingent on the business’ profitability. The deal will be financed by a new $115 million term loan. Watches of Switzerland believes it will be accretive upon acquisition.

This is the second acquisition this week involving an Italian jewelry brand. On Tuesday, Richemont announced it had acquired Milan-based manufacturer Vhernier.

Top: Roberto Coin rings (photo courtesy of Watches of Switzerland)

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