Fossil Inc to acquire Skagen Designs
16 Jan 2012
US-based Fossil, Inc, a designer and manufacturer of clothing and accessories, is acquiring Skagen Designs Ltd and certain of its international affiliates, for around $225 million in cash.
Skagen, based in Reno, Nevada was founded in 1989 by Henrik and Charlotte Jors. The company started as the US representatives for a Danish manufacturer of corporate branded business gift watches and for exclusive Jacob Jensen designer watches.
It now manufactures, markets and distributes contemporary Danish design accessories including watches, jewellery, sunglasses and clocks.
Its products are sold in 75 global markets and in company-owned and operated retail stores in Denmark, Germany, the UK and Hong Kong.
Under the deal, Fossil will pay $225 million in cash and 150,000 Fossil shares. It will also give an additional 100,000 additional shares if Fossil's net sales of Skagen-branded products exceed certain sales thresholds.
Fossil's stock closed today at $78.98.
