China Haidian Holdings Limited (“China Haidian”, or “the Group”; HKSE: 0256), a leading manufacturer and distributor of luxury watches in China and overseas, is pleased to announce the 100% acquisition of Swiss Montres Corum. China Haidian will become the sole owner of the Swiss luxury watch company, based in La Chau-de Fonds.

The acquisition is valued at CHF 86.0 million (or equivalent HKD 713.8 million), to be settled by cash of CHF 47.0 million (or equivalent HKD 390.1 million) and the allotment and issuance of not more than 450,000 shares issued at approximately CHF 0.0964 (or equivalent to HK$0.8). The share consideration represents approximately 10.41% of the existing issued share capital of the Group and approximately 9.43% of the enlarged issued shares.

This strategic agreement fulfils the long term vision of both partners for the continued development and growth of the Corum brand. Upon closing, Corum will become a subsidiary of the Group.

It will allow the Group to further develop its Swiss brand portfolio and to anchor its position in the Swiss Haute Horlogerie by reinforcing its other activities and provide Corum with new prospects for development and for strengthening the positioning of its brand worldwide.

Mr. Hon Kwok Lung, Chairman of China Haidian, said: “I am very pleased with this acquisition and I firmly believe in the development potential of Corum. The brand has done a remarkable job under the leadership of Antonio Calce and was able to reposition itself as a major player in the Haute Horlogerie. I enjoy working with Mr. Calce, whom I trust to ensure effective management of the company”.

Antonio Calce, CEO of Corum, said: “I was very touched by the human qualities of Mr. Hon. We share the same personal and professional values. He immediately recognized the potential of a niche brand like Corum. He is a man committed to the preservation and development of the Swiss watch industry, as well as the craftsmanship and know-how we have in the Region. We have forged strong links and I am confident that together we can continue the success of Corum. I am convinced that China Haidian is the partner of choice for Corum.”

Richard E. Tomlin Jr., President and Chairman of the Severin Wunderman Group, said: "It is an extreme pleasure for me to pass the ownership of Corum to Mr. Hon who shares the same watchmaking passion, entrepreneurial spirit and independent family values as Mr Severin Wunderman. I have complete trust and confidence that Mr Hon and Mr Calce will complete Mr Wunderman’s vision and dream to make Corum one of the elite luxury brands in the Swiss watchmaking industry.

On behalf of Mr. Wunderman, I would like to thank all Corum employees worldwide as well as all of our suppliers and global distributors for their contribution and support to Corum and the Wunderman family over the past 12 years.”

Source: College Hill Ltd