US watch maker Movado Group Inc (NYSE:MOV) said it had acquired an additional stake in MGS Distribution Limited (MGS) from its UK partner Swico Limited, raising its interest in the UK distribution joint venture from 51% to 90%.
As a result of the deal, financial details of which were not revealed, the pair terminated their joint venture agreement. MGS will become a wholly owned unit of Movado, whereas Swico will continue to provide logistical support and after-sale service to the firm.
Movado also announced that MGS had bought its 100% interest in MGI Luxury Group UK Limited, a distributor of the US firm’s Movado and Ebel brands in the UK. The target will transfer its business to MGS in the first quarter of fiscal 2014.
Movado expects that both deals would en