UK luxury watch sales slump £2.4m

The deterioration in the UK watch market might appear less severe than in some economies. Watchfinder, the pre-owned luxury watch retailer with an annual turnover in 2015 of £38m, is seeking further investment to grow the business in international markets. The company increased its turnover by 56% in the last 12 months, despite the backdrop of a worldwide slow down in luxury watch sales, with Swiss watch exports reaching a six-year low. UK exports of watches remained more resilient than China and the US, both seeing a decline in sales of 30% whilst the UK sales fell by only 6%. If watch sales can be seen as a barometer of disposable wealth, Germany faired best of all with a growth in sales of 2%.

South East Business, Deals Muhammad Aldalou

A Kent-headquartered retailer of pre-owned luxury watches is on the lookout for additional investment as it gears up to expand into international markets.

Stuart Hennell and Lloyd Amsdon, the majority shareholders and co-founders of Watchfinder, have confirmed they are in early stage discussions with unnamed parties. Both financial and strategic investors will be targeted.

A company spokesman said minority shareholders, which include John Gill, Matt Bowlings and investors Beringea and Piton Capital, are "being kept informed regarding the matter".

The stake available or the amount to be sought has yet to be determined.

The cash raised will be used for international expansion. In January 2016, Watchfinder launched both US and Australia-focused websites, with the focus now on getting a physical presence.

The spokesman said although acquisition talks have taken place with several US and Australian companies, "it is unlikely Watchfinder will use this method to expand".

Watchfinder reported turnover of £38.7m for the year ended March 2015, a 54 per cent increase from a year earlier.

Founded in 2002, Watchfinder sells pre-owned luxury watches such as Rolex, Cartier, Tag Heuer, Breitling, Omega and Patek Philippe. Aside from website sales, the company operates four shops throughout the UK, as well as a concession stand in Harvey Nichols, Knightsbridge.

A 15 per cent stake in the business was sold to Piton Capital and Beringea for £6m in September 2014.