Richemont is attempting to refocus on the higher market segment, while Damiani Group aims to expand its influence in the watch industry.
The Swiss conglomerate Richemont, which includes companies such as Cartier, IWC, Piaget, A. Lange & Söhne, and Vacheron Constantin, is selling the watch brand Baume & Mercier, acquired in 1988. The buyer is the Italian jewelry house Damiani. The deal's financial details are not disclosed.
For many years, Baume & Mercier has tried to occupy the affordable luxury niche, but this segment proved too challenging for stable development, especially considering the competition from Swatch Group and the group's manufacturing capabilities.
For reference, as of March 31, 2025, Damiani Group's total revenue exceeded €380 million, which is 10% more than the previous year. For the Italians, the purchase of Baume & Mercier represents an opportunity to expand their presence in the watch industry. How the company will be positioned after the sale is still unclear.
The deal's closure is expected in the summer of 2026. During the entire transition period (at least 12 months after the deal's closure), Richemont will provide operational services to Damiani Group. This is done to ensure a smooth integration of Baume & Mercier into the house's operations.