The UK's largest luxury watch retailer, Watches of Switzerland, is in talks to go private through a sale, according to people familiar with the matter. CEO Brian Duffy, believing the company's shares are undervalued, has engaged with early buyout approaches, with private equity funds and strategic buyers said to have shown interest. The company is seeking a takeover offer significantly above 7.50 pounds per share, though no formal bid has yet been made. The stock has risen 55% since the start of the year but remains less than half its 2022 peak, weighed down by a slowdown in European luxury sales and the impact of Rolex's acquisition of Bucherer.
Rolex's acquisition of Bucherer is cited as a factor weighing on Watches of Switzerland's stock, implying Bucherer is a competitive threat.