Timex, Gianni Versace S.p.A. Sign Strategic Alliance

Timex Group B.V. and Gianni Versace S.p.A. have signed an agreement regarding Versace's watch, jewelry and writing instrument business.

The deal gives Timex, an entry into the luxury market, while enabling Gianni Versace S.p.A. to join forces with a major global watch company to develop its watch and jewelry lines.

Timex will acquire Versace S.A., a subsidiary of Gianni Versace S.p.A., with operations in Lugano, Switzerland. Versace S.A. is the current watch, jewelry and writing instrument licensee of Gianni Versace S.p.A., Versace Group's parent company.

Versace S.A. will be renamed as a result of the acquisition, but there are no plans to relocate the company or reduce its existing workforce.

The provisions of the license agreement allow the Timex Group to continue to manufacture and distribute watches, jewelry and writing instruments bearing the “Versace” trademark.

“We've been in the timekeeping business for more than 150 years,” said Joe Santana, a President and CEO of Timex Group B.V. “While we certainly use our resources to enhance the business, the change in ownership will take place in a manner that will not disrupt any existing distributors or retailers of the products of Versace S.A.”

Meanwhile, Giancarlo di Risio, CEO of Gianni Versace S.p.A., said: “In Timex, we've found a partner that is uniquely qualified to realize and enhance the brand's potential within timepieces and jewelry categories. This deal allows the Versace Group to continue developing the brand's largely untapped potential in the watch industry through a licensing partnership with Timex Group.”

Versace is one of the world's leading fashion houses, while the Timex Group of companies, with operations in 20 countries and sales in more than 60 countries, is one of the largest designers, manufacturers, marketers and distributors of watches in the world.