Movado Group Inc. (MOV) has tacked on another brand to add to its portfolio of watches.
The designer, marketer and distributor of watches under its own Movado, Concord and Ebel brands, plus six licensed brands, will now be selling Olivia Burton watches.
On Wednesday, July 5, Movado announced its €60 million (about $680 million) all-cash acquisition of JLB Brands Ltd., the maker of Olivia Burton women's watches, and one of the U.K.'s fastest-growing watch and jewelry brands.
JLB, founded by Lesa Bennett and Jemma Fennings, began selling watches under the Olivia Burton brand in the U.K. in 2012 through retailers including John Lewis, Watchshop and Argento. Last year, London-based JLB expanded Olivia Burton to the U.S. by selling through department and specialty retail stores including Urban Outfitters Inc.'s (URBN) Anthropologie and Nordstrom Inc. (JWN) .
As of January, the company said its Olivia Burton watches were present in 117 stores in the U.S. The company has also been selling jewelry in the U.K. since sometime last year. In its latest fiscal year ended March 31, JLB said its revenues increased 64% to €15 million and it expects to generate €25 million this year.
Movado said that the acquisition was funded with cash on hand from Movado's non-U.S. subsidiaries and was completed on July 3, subject to working capital and other closing adjustments.
According to a company statement, Bennett and Fennings will remain in leadership roles at Olivia Burton, reporting to Efraim Grinberg, chairman and CEO of Movado.
Shares of Movado rose 5.63% to $26.25 in today's trading.
TheStreet talked with Grinberg by phone to discuss the acquisition.