The purchase price was comprised of approximately $100 million at first, plus up to another $100 million in contingency payments.
Efraim Grinberg, Movado’s chairman and CEO, said he’s pleased to welcome MVMT to Movado Group.
“ MVMT provides many benefits to our company — we add a strong digital brand to our portfolio; broaden our customer reach to millennials, an important consumer segment; and increase the sales and earnings potential of our Company with an acquisition that we expect will be accretive to fiscal 2019 results. We expect to leverage the strengths of MVMT combined with our scale and operating platform to take the brand to a greater level of growth. With the closing of this acquisition, we are well positioned to capitalize on the full potential of our owned and licensed brands portfolio as we focus on delivering sustainable long-term growth,” Grinberg said.
MVMT’s leadership was also excited about the acquisition.
“I am excited to officially be part of the Movado team. The entire MVMT team shares in my excitement as we will now be able to benefit from the resources and brand expertise of Movado Group that will help MVMT achieve our long-term objectives,” Jake Kassan, co-founder and CEO of MVMT, said.
“I, along with the 39 associates at MVMT, share in the enthusiasm to be part of Movado Group. We expect Movado Group’s scale, relationships and expertise in the timepiece category to accelerate the growth and development of our business as we maximize both businesses’ focus on product innovation, unique design and value for the consumer,” Kramer LaPlante, co-founder and chief operating officer of MVMT, said.