Patek Philippe cashing out ??? Richemont/LVMH on high alert ?

[usnwfu]

I hope Amazon buys Patek... Prime 2 Day delivered Service of your Nautilus!

[DasKptl]

Originally Posted by tom2517

James Dowling adding fuel to the fire...

misterrolex
BREAKING NEWS.....my bet is on the very dark horse of Hermès, who share a very similar philosophy of luxury regardless of cost.

If Hermès ever acquires Patek, will we see Apple Watch Patek? Like Apple Watch Hermès?

[zahain]

Francois face will be very similar to attached when he sees Patek leave private hands 'My code 11.59 the most advanced classic round shape watch that the #1 swiss brand Audemars makes. We did such a good job, Patek could not keep up with sales! All 19,20,21 yr old who email, call and send me
love letters everyday from our AP Houses love the advanced complicated movements we make. No one is better than us from Le Brassus'

I agree, i won't buy any watches if they sell..

[soundserious]

I’d be out if they sell. Not to say that TS isn’t completely incompetent which he certainly has been, but you would think the Sterns would hire an independent CEO that could guide the brand in some logical way.

[The Argonaut]

Originally Posted by Russell996

Don't buy into the rumour mill.

Quite right. Instead, buy into the new shares when available!!

[vlps]

id like to see it happen and nautilus production goes up to crush all the grey market dealers with hundreds in storage

[soundserious]

Originally Posted by vlps

id like to see it happen and nautilus production goes up to crush all the grey market dealers with hundreds in storage

How quickly we forget the cautionary tale of Panerai.

[77T]

What about this?

Rolex buys PP.
Retires the Cellini line.
Cellini prices soar.


Sent from my iPhone using Tapatalk Pro

[ts3]

Originally Posted by Ichiran

This rumour is now on Bloomberg and Hodinkee. If there is no intent to sell at all, Thierry would be the first one to refute these rumours, given what this brand means to him?

I'm thinking this might be one approach for a private company like his to drum up interest to spark a bidding war?

Actively spreading these rumors would most certainly not be a sensible approach for a private company to start exploring a sale as it will damage brand and business and its value before they get anywhere... The interest at the right price will be there anyway (or not), they can start talking to potential buyers any time when serious about exploring a sale.

These rumors could be the result of a leak in such discussions or - because they come from Berenberg, not exactly a top M&A advisor - a leak elsewhere... Some of the Sterns may have a relationship w Berenberg on the wealth management side, who knows... Time will tell...

[Calatrava r]

I think all the rumors just today will impact negatively PP sales on the non-sports and will affect people's decisions on selling the SS sports they own. It really is a shame if these are baseless rumors.

[subtona]

Originally Posted by RussW

If James is saying this, this rumour is a lot more credible.

unless he sees profit from the rumor growing.

[tom2517]

Originally Posted by DasKptl

If Hermès ever acquires Patek, will we see Apple Watch Patek? Like Apple Watch Hermès?

I highly doubt it. Hermes is famous for leather goods so they can collaborate with Apple (strap), Leica (leather body and strap), Bugatti (leather dash and seats) and some others with their leather prowess, but I don’t see Patek x Apple.

But then again I have learned in life, never say never.

[Etschell]

Didnt lvmh have a bad quarter? Why would they plunk another 9 bil into a bad decision.

[Etschell]

Originally Posted by 77T

What about this?

Rolex buys PP.
Retires the Cellini line.
Cellini prices soar.


Sent from my iPhone using Tapatalk Pro

I dont see rolex buying patek.

At least we know 1 thing rolex is not for sale........

[tchaic]

Dear Universe- Noooooooooo

[sechsgang]

If Rolex or Hermes purchased I'd be ok with it to a degree, but one of the biggest assets Patek has is it's total independence. If a conglomerate bought it, honestly it would lose half or more of it's interest to me.

[Fleetlord]

Where there is smoke there is fire.

It looks like could be the source of the fire:

In 2014, Stern told Swiss newspaper Le Temps that the company may eventually need to leave Geneva or put itself up for sale if its tax burden wasn’t reduced. Months later, the company announced a 450 million-franc ($451 million) investment plan in the canton.

Stern’s wife, Sandrine, works in design at Patek Philippe. Their children are in their teens, and Patek’s chairman has said he wouldn’t push them into the business if they didn’t want to join.

My speculative analysis from my big chair in the bunker.

The business has become a hassle due to coping with the tax burden (now fully realizing dumping the money in to the factory was a bad idea) and their children aren't interested in the business, otherwise he wouldn't have mentioned them at all.

So without a clear succession plan, which creates even more hassle in finding a management team to run the company since the kids might not want it, then it's time to cash out while the market is hot.

[msolace]

Hodinkee jumping on the bandwagon to report the news:

Hodinkee: Bloomberg reports Patek may be up for sale

.. reiterating the Bloomberg article basically

[carlhaluss]

Well, I have only the one Patek. My grail Gondolo small seconds. It would entirely depend upon which company/conglomerate were to purchase them, if indeed it does, whether I would consider another. And also whether I would consider keeping mine. When I do buy a watch, I feel as though I buy into a company as well, not monetarily, but emotionally. While I realize that makes little sense to most, it is what my heart dictates.

Anyway, time will tell. Certainly not going to get worked up about it right now.

Cheers,
Carl

[msolace]

Originally Posted by onnomon

If Rolex bought Patek, Rolex would move from King to....God...or something like Zuul, the Gatekeeper of Gozer.

Question: If Rolex bought Patek, would you consider a future Patek purchase?

No. Probably not. They have different principles regarding watchmaking.. While I love them both, I wouldn't make any purchase if one of them takes over the other. But again, I'm somewhat a purist, If I'm going to shell out couple tens or hundreds of thousands of $, I'm certainly going for pieces from independent watchmakers.. And as you know, there are only a handful left:
Patek Philippe
Rolex
AP
...

Originally Posted by AAP8

I would - I think the 2 companies have a very similar mindset - they focus on what they are good at and just choose not to chase trends, but create them.

I beg to differ:

Patek says "You never really owned a Patek, you merely look after it for the next generation" : This is like saying "Hey look I'm rich, in fact, too rich for you. No, you can't buy me.. you can only rent for the rest of your life".
This leads to emphasizing: exclusivity, bragging rights, chest-thumping gestures.

Whereas Rolex's slogan is "Every Rolex tells a story": my intepretation is somewhere along the lines of : "You can get the cheapest Rolex out there, be it an Explorer I or the Oyster Perpetual, and it would still matter.. you can still have beautiful memories traversing the tapestry of your life (with your loved ones) wearing one."

Rolex doesn't discriminate whether you're a multi billion dollar mogul or a middle-class white collar worker. A Rolex is a Rolex, it'll still give you pleasure whatever your social status may be, without breaking the bank. Rolex tries to give you the best bang for your buck, while Patek doesn't even bother to do so (it doesn't need to).

Patek: (off the top of my head..)
Entry-level aquanaut = $ 28,000
Entry-level nautilus = $ 42,000
Entry-level complication = $ 63,000
Entry-level calatrava = $22,000
Entry-level World Time (GMT) = $ 30,000
At these price points, the ones who can afford an entry-level Patek are the wealthiest 0.5%.

You get the point right?

So.. If one were to take over the other, I also believe it's not going to go down well for their fanbases.. there's going to be a huge uproar and pandemonium in the horological world, to say the least.

[Wesley Crusher]

LVMH will acquire PP and we will see a Hublot x PP collaboration. Could we see a "Nautilus Big Bang"?? lol

[benlee]

Originally Posted by Wesley Crusher

LVMH will acquire PP and we will see a Hublot x PP collaboration. Could we see a "Nautilus Big Bang"?? lol

That will frankly be both laughable and frightening at the same time.

[msolace]

Originally Posted by sechsgang

If Rolex or Hermes purchased I'd be ok with it to a degree, but one of the biggest assets Patek has is it's total independence. If a conglomerate bought it, honestly it would lose half or more of it's interest to me.

Agreed. I would lose 90% of interest ..

[msolace]

Originally Posted by zahain

...

I agree, i won't buy any watches if they sell..

Same here.

[tom2517]

I don't know, it's hard to say.

I remember back in the day the "purists" would say they have no interest in watches made by companies not started by a watch maker or makers, no in house movement, no rich history, and etc. But I see some of them now are quite enamored with RM, a company founded by a businessman, no history, and out source his movements.

Now I see people saying if Patek is bought by a conglomerate they wouldn't buy it anymore, well who knows, maybe they will come out with something people will desperately want and then you see people come up with all kinds of excuses to justify it.

For me a good watch is a good watch, as long as Patek makes good products, I don't care who owns it.

[msolace]

Buying a Patek when the company is under some conglomerate's umbrella negates the whole idea of being exclusive, doesn't it? .. to the point of that it wouldn't be different than buying a TAG Heuer, or a Longines... No ?

(... especially when the parent company owns 50 other watch brands !)

[msolace]

Originally Posted by tom2517

... But I see some of them now are quite enamored with RM, a company founded by a businessman, no history, and out source his movements.

RM is a different beast altogether.. haha
(Not saying that I like them in any way though)

They're just trying to prove a point: That elite marketing skill does work.
You can make billions selling chicken shit with the right marketing strategies and tools.

Rolex without their marketing ploy for the past 80 or so years, wouldn't be the Rolex we know of today.

[msolace]

Originally Posted by tom2517

Now I see people saying if Patek is bought by a conglomerate they wouldn't buy it anymore, well who knows, maybe they will come out with something people will desperately want and then you see people come up with all kinds of excuses to justify it.

For me a good watch is a good watch, as long as Patek makes good products, I don't care who owns it.

Well, for me it's more of a value proposition.. If I'm going to dump that much money into a watch(es), I'd damn well make sure to have its rich history & independence to go along with it.

[Russell996]

Originally Posted by msolace

Patek says "You never really owned a Patek, you merely look after it for the next generation" : This is like saying "Hey look I'm rich, in fact, too rich for you. No, you can't buy me.. you can only rent for the rest of your life".
This leads to emphasizing: exclusivity, bragging rights, chest-thumping gestures.

Couldn't disagree more, I take the exact opposite view of how each piece is regarded by the wider public. I would say Rolex is absolutely about bragging rights and most people haven't heard of Patek.

[htc8p]

How about this version: Chinese buys up Patek and moves to China

Very Possible