Patek Philippe for sale?

[daveo5]

Since I’m a Patek collector and wearer, I really don’t care about the sports line, as it is today. Would I buy another vintage, with or without complications, yes. No interest in Nautilus or Aquanaut. I have my Rolex submariner for real water activities.


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[KetaPatek]

Originally Posted by tom2517

Yes but like you pointed it out, it’s more of an accessory than necessity which in itself is a risk, and like I said above, who knows in 50 years will people still show off their wealth with a mechanical watch? Or is it going to be something else entirely?

ppl wear bracelets, rings, necklaces, so yeah i think it's fairly safe to say they'll still be showing off the wrist watches even as subcutaneous chips transmit time 24/7/365 along w/ gov=corp marching orders heh.

pp going public given their numbers? only asap at the nosebleeds of our current everything bubble ponzi -- they better hurry, as silicon startups are starting to look even worse by the day (all cashburn w/ zero revenue); but hey, we got netflix and tesla et al.

[GreenLantern]

Responsible journalism is *not* reporting on hallway rumors. At least they admitted to it in the article.

I expected more from Bloomberg.

[onnomon]

whoa! If Rolex bought Patek this could be a win-win situation, for Rolex and the Stern family, at least. Aspirational watches for the masses (Rolex), aspirational watches for people of new-found wealth (Patek). Watch enthusiasts would initially raise an eyebrow, and maybe come to the conclusion this is not a bad thing after all- similar philosophical values (brand image), privately held, and nearly non-overlapping market segments. Just think, you could spend your USD$60K on a diamond studded Datejust, or a 5960P...all bases covered.

And, of course, in the process of buying your first Rolex the salesperson will be happily discourse the history and prestige of Patek Philippe (per their sales training), setting the customer up for the next aspiration, for the next generation.

[Fat_ninja]

Originally Posted by GreenLantern

Responsible journalism is *not* reporting on hallway rumors. At least they admitted to it in the article.

I expected more from Bloomberg.

Why would you expect more? Have you watched their show lately? I have friends that work here and its all about clicks and views

[enjoythemusic]

IMHO this could be a VERY GOOD thing for Patek. Maybe the new owner will truly bring them back to ultra-high leading quality they once were. So this is very good news if they get bought out and "the right" buyers does "the right thing" for the brand. There are various ways Patek is truly falling behind (or missing out), so again i vote YES.

SELL SELL SELL

[GreenLantern]

Originally Posted by Fat_ninja

Why would you expect more? Have you watched their show lately? I have friends that work here and its all about clicks and views

:(

I guess I'm still holding onto the past.

[Calatrava r]

Both Patek and Rolex have cut supplies to drum up interest in their brands and mask the dismal watch market which continues its steady but sure decline everyday with people increasingly using just cell phones to tell time. But how long does that marketing strategy work? Eventually you go out of business either way if there is no demand. Patek would be smart to cash out now but it will do nothing but harm the long term value of products made after the sale. You may only keep their watches for the next generation but who will keep the company going for the next generation?

[AlyRba]

Everyone has their own view but I think there is a bit of overreaction on this thread. Lange, VC, and JLC are all part of big watch groups and are doing fine without much interference from the big Corp on how to run things. Granted they don’t have great resale like Patek but Patek’s resale has to more to do with their marketing efforts than with their independent status.

[Calatrava r]

Originally Posted by AlyRba

Everyone has their own view but I think there is a bit of overreaction on this thread. Lange, VC, and JLC are all part of big watch groups and are doing fine without much interference from the big Corp on how to run things. Granted they don’t have great resale like Patek but Patek’s resale has to more to do with their marketing efforts than with their independent status.

A huge part of their advertising is they have been continuously independent since what the 1830's. Any company buying this company will inevitably review all costs and look to gain efficiencies of production where they can. What might be streamlined or cut is an unknown. One advantage of the conglomerates is that they can and do use standardized parts across the various lines. Perhaps this does not reduce quality but it weakens the perception of brand uniqueness rightly or wrongly in the eyes of the consumer.

[AlyRba]

Originally Posted by Calatrava r

A huge part of their advertising is they have been continuously independent since what the 1830's. Any company buying this company will inevitably review all costs and look to gain efficiencies of production where they can. What might be streamlined or cut is an unknown. One advantage of the conglomerates is that they can and do use standardized parts across the various lines. Perhaps this does not reduce quality but it weakens the perception of brand uniqueness rightly or wrongly in the eyes of the consumer.

Agree. But to the best of my knowledge, Lange and JLC at Richemont and GO at Swatch (brands that I am aware of) have not been subjected to this treatment. They retain their independent spirit and watchmaking traits, especially Lange and GO. Only VC has recently started using Richemont manufactured movements in their Sixty Five collection to keep prices low and attract new buyers. All their other collections continue to be made to strict VC standards.

If Patek is indeed taken over by a group, Stern can make it part of the negotiation terms that any efforts to generate revenue will not impact the quality and standard of Patek. I still believe that in the long run, this won’t have a big affect on Patek but may end helping the brand on issues such as service quality.

[JR16]

Maybe they don’t sell completely but just sell off 25% or whatever to an investor, like FPJ did.


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[Sonzy]

https://www.swissinfo.ch/eng/bloombe...BkpJc.facebook

[Sonzy]

Originally Posted by Ichiran

You should be able to get a 5711 at below retail price anywhere and any time if the Sterns sell the Patek brand to LVMH, Swatch or Richemont....

Or to a Qatari 🇶🇦 Company, as they’re buying like crazy everything all over the world.

[Sonzy]

Originally Posted by s.m.b.

Crazy. I would definitely stop buying Pateks if the brand fell into the hands of a corporate conglomerate.

I was planning to buy a new PP, but after Bazel. I don’t understand why PP didn’t make a clear quick announcement?!!!
I’ll hold buying any PP for the coming 12 months, even if the roomer is not true. I can’t afford to buy a new watch and take a risk that after few months it’s value can drop dramatically.

I love PP, and I love that’s an independent company... maybe it’s FP Journe time.

[Sonzy]

François definitely is laughing now, something big will divert the industry over the -ve feedbacks. :)

[Ichiran]

Originally Posted by JR16

Maybe they don’t sell completely but just sell off 25% or whatever to an investor, like FPJ did.

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I doubt that will be the case, because my assumption is that high-end dress watches have not been selling well for years, while their sports watches ended up with a 10-year-waitlist. How many times have we walked into a Patek boutique and see empty display cases like Rolex's? Patek's display cases are always filled with unsold dress watches. The change in consumer demand from dressy pieces to sports pieces is an overwhelming trend that even marketing-genius Patek is unable to reverse. I seriously doubt they are able to sell out those 40,000 high-end dress watches every year.

To remain as a going concern, Patek needs to increase their sports watch ratio, and that is something that the Sterns are unwilling to do. If there are indeed talks of sales, it could very well be the Sterns rather sell their beloved Patek brand than to see Patek going down the route of sport watches (pride issues).

The new owners and management should thus be given the unbridled rights to increase sports watch production to ensure the viability of the brand. The new owners do not come with any emotional baggage and they will do what is necessary to make money for their shareholders.

One disappointing aspect if the acquisition goes through, is that the Sterns' undertaking to take care of all our purchased Patek watches for eternity might not be fulfilled by the new owners.

[JorgeCCW]

You actually never owned a Patek Philippe, you always owned a watch that was a part of a conglomerate

Lol


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[Busyboy]

Originally Posted by JorgeCCW

You actually never owned a Patek Philippe, you always owned a watch that was a part of a conglomerate

Lol


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What a point to tune in
Hahahaha

[Busyboy]

I'm worried having read this thread

But it's very interesting and considered... This is certainly what I'll be following very closely

[usnwfu]

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

[TJMike]

Originally Posted by AlyRba

Only VC has recently started using Richemont manufactured movements in their Sixty Five collection to keep prices low and attract new buyers. All their other collections continue to be made to strict VC standards. .

The majority of the Fifty Six collection have the Hallmark of Geneva certification. Only the three-handers with the date do not.

[Etschell]

Man this would stink. I see no good coming out of it. That said it may not change all that much but to me patek is best as patek and not part of a group.

If I owned a ss nautilus purchased at 50k I would be a bit nervous.

[TJMike]

Originally Posted by tyler1980

I think if patek gets sold people will reevaluate the whole idea of being independent. ALS moves up to #1, Patek/AP at #2 or #3 and it is interchangeable. I cant think of any reason besides the independent thing as to why ALS isnt in the top 2 now as resale has nothing to do with the watch but its the big drawback now as well as non independent.

It is a good thing that Lange is not independent. There is a more than credible rumor that Lange sales are not good (resale value adds credence to that) and are propped up by how well Cartier does.

In contrast, from what I have been read VC is doing quite well (Richemont CEO or someone else high in the company specifically mentioned that they are happy with VC sales).

[GB-man]

Originally Posted by TJMike

It is a good thing that Lange is not independent. There is a more than credible rumor that Lange sales are not good (resale value adds credence to that) and are propped up by how well Cartier does.

In contrast, from what I have been read VC is doing quite well (Richemont CEO or someone else high in the company specifically mentioned that they are happy with VC sales).

Seems hard to believe. They don’t even make any appealing sport watches to begin with

[rw2008]

Not sure why people would hold off buying Pateks right now. If anything I’d jump on them as long as I could prove it was produced before the sale.

[tom2517]

Well, Forbes in 2016 or 2017 estimated that the Stern family would worth around 3B if Patek were to go public, based on Patek's revenue comparing to Richemont and Swatch's and their market cap.

So Bloomberg's 8-10B is a considerable premium and one I could see is enticing to the Stern family, if someone were actually to offer that.

[Token74]

Originally Posted by Etschell

If I owned a ss nautilus purchased at 50k I would be a bit nervous.

Not at all - if PP were to be sold, values of current watches (especially the higher priced) would increase significantly.

AP would capitalise and promote itself trying to elevate itself, so values of AP would increase.

If Rolex bought Patek, my local AD would become a Patek AD.

This is all gravy!! Sell TS, sell!!

But then I’d be sad. Don’t sell TS, don’t sell!


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[Russell996]

Originally Posted by Token74

Not at all - if PP were to be sold, values of current watches (especially the higher priced) would increase significantly.

Why? They make 50,000+ per annum currently.

Can't see why a 2018 5740 would be worth more than a 2020 5740?

[Token74]

Originally Posted by Russell996

Why? They make 50,000+ per annum currently.

Can't see why a 2018 5740 would be worth more than a 2020 5740?

Because collectors will value a watch made before the change higher than they will after the change, even if the watch is identical. There may be no logic to it, but it is what happens.

And they certainly don’t make 50,000 £50k+ watches per annum.


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