Breitling has acquired Gallet, bringing back from relative obscurity the historic watch brand founded nearly two centuries ago, in 1826.
Breitling acquires Gallet, reviving the legacy of the Swiss watchmaker – Breitling
The move comes 15 months after Breitling acquired Universal Genève in late 2023, reinforcing Breitling’s drive to become a major player and influence in luxury watchmaking.
Known for its precision timekeeping, which is prized by frequent travelers, explorers, and adventurers, Gallet is now positioned as Breitling’s new entry-level luxury watch brand, the company said in a release.
The terms of the acquisition were not revealed.
The brand Gallet actually dates back to 1466, when founder Humbertus Gallet began his eponymous clockmaking business, making it arguably the world’s oldest timekeeping marque.
“This acquisition is a logical step in the development of our company,” explained Breitling CEO Georges Kern.
“We are breathing new life into Gallet by drawing on Breitling’s expertise and know-how. Our ambition is clear: to revive Gallet as a leading watch brand while preserving its spirit of adventure and innovation in chronographs,” added Kern.
Founded in 1884, Breitling is a leading luxury watchmaker based in Grenchen, Switzerland. In 2017, the Partners Group bought an 80% stake in Breitling for $870 million before acquiring the remaining 20% the following year.
“We have full confidence in Breitling, which is well placed to increase its market share in the luxury watch sector,” says Alfred Gantner, co-founder of Partners Group and president of Breitling. “The acquisition of Gallet is the second key step in strengthening our long-term strategy.”
Gallet helped usher in the age of aviation by creating the chronograph that measured the first powered flight in 1903. Piloted by Wilbur and Orville Wright, the Kitty Hawk Flyer covered 259 meters in just 59 seconds. With its timepiece marketed under the name “The Sun,” Gallet made a lasting mark on aviation history.
In 1907, Gallet acquired Société d’Horlogerie Electa and founded Fabrique d’Horlogerie Electa, Gallet & Co. The following years were marked by technical innovations, patents, and international recognition, enabling Gallet to establish itself as a benchmark in precision timekeeping.
Thereafter, Gallet continued to focus on the American market, operating mainly as an établisseur—designing watches while supervising their manufacture and assembly in Switzerland.
In the 1970s and 1980s, when the Swiss watch industry was hit by the quartz crisis and the soaring Swiss franc, Gallet, like many other great names, lost some of its splendor.
Now, under the leadership of Breitling, Gallet is poised to embark on a long-awaited renaissance.
Russian diamond producer Alrosa announced on Tuesday that it had decided to temporarily suspend operations at its less profitable deposits.
Reuters
The suspension will affect deposits with an annual production of less than 1 million carats, it said. The company said it still planned to produce 29 million carats of diamonds in 2025.
In November 2024, Alrosa said that it might suspend some production in 2025 and reduce staff.
Dolce & Gabbana Srl, the Italian fashion house known for bold, Mediterranean-inspired designs, says its beauty business now holds the key to an independent future in the rapidly shifting luxury industry.
Revenue from beauty products is expected to rise more than 20% for the 12 months through the end of March 2025, to €610 million ($665 million), Chief Executive Officer Alfonso Dolce said in an interview. That would lift total annual revenue to around €2 billion.
The company is also targeting €1 billion in beauty sales by the end of the 2027 financial year, following a shift from licensing to direct management of production and distribution of fragrances, makeup and skincare.
Dolce Gabbana’s pivot on beauty comes at a fraught moment for the fashion sector, where a global slump has raised questions about the standalone future of some of its rivals.
Hong Kong-listed Prada SpA is nearing a deal to buy Gianni Versace Srl, while fashion icon Giorgio Armani rocked the industry last year when he said he no longer rules out a merger or listing once he exits the scene.
Dolce Gabbana’s reaction has been to double down on its independence by broadening its revenue streams. Along with the decision to directly manage the beauty business, it’s also testing the waters in real estate and hotels.
“We asked ourselves, what more do we have to say to the fashion industry after 40 years at the top?,” said Dolce, 60, who holds the top job at the firm his brother Domenico and Stefano Gabbana founded in 1985.
Dolce Gabbana Holding Srl, which encompasses the group’s offerings in clothing, furnishing accessories and beauty, reported about €1.9 billion in revenue for the 12 months through March 2024, up 19% at constant exchange rates compared with the previous year, driven by an almost five-fold increase in beauty.
But the company’s earnings before interest and taxes are still just a fraction of its Italian rivals. Dolce Gabbana posted €4 million in Ebit at the end of the last financial year, compared with €1.28 billion for Prada on sales of €5.4 billion.
The jury is still out on the firm’s other big diversification bet, property and hotels.
“The success in beauty is a good testament of the brand strength,” said Luca Solca, a senior analyst at Bernstein. “I don’t think that hospitality/hotels will play a big role for them.”
The firm is seeking additional funding, including for its real estate ventures, which cover residences in Marbella, Spain, in Miami and in Dubai, as well as hotels in the Maldives and Saudi Arabia.
That’s another change in tack for a group that’s traditionally financed investments internally, Dolce said. A €300 million term loan that’s about 25% repaid dates back to 2022. The fashion house also has a €100 million working capital facility.
It’s now in talks with bank lenders for as much €150 million. A decision by those creditors is still on hold.
The diversification moves were prompted by what the CEO acknowledged was over-reliance on visitors to the Mediterranean, and the group’s post-Covid rebound was short-lived, he said.
The 2022 Russian invasion of Ukraine shaved off more than €100 million from the top line, while sales to Chinese customers tumbled as the country’s economy dipped and consumer tastes shifted.
Still, Dolce insists his firm can thrive as an independent. “If the macroeconomic environment deteriorates further, we have our own properties, our warehouses and we can always cut ad spending, which is twice as high as our peers,” he said.
Dolce also remains adamant about not wanting outside investors, at least for now.
“We listen to everyone, investment banks, family offices, private equity firms,” the CEO said. “But our response is always the same, at the moment we’re not interested in opening our capital.”
Silk brand LilySilk has teamed up with Hollywood stylist Elizabeth Stewart to launch a capsule collection.
LilySilk launches capsule collection with stylist Elizabeth Stewart. – LilySilk
“We’re excited to unveil our exclusive collaboration with Elizabeth Stewart, the celebrated Hollywood stylist known for her exceptional eye for elegance,” said David Wang, CEO of LilySilk.
“This partnership redefines the essence of effortless sophistication and timeless allure, merging LilySilk’s luxurious silk with Elizabeth’s unmatched styling artistry.”
The collection combines LilySilk’s commitment to sustainable luxury with Stewart’s signature styling expertise. It features six curated looks with 11 versatile pieces, rooted in luxury, comfort, and sustainability.
Among them is the Denim Dossier, a fitted denim-inspired suit with a cropped jacket and high-waisted wide-leg pants. Urban Voyager offers a modern take on leisurewear with an oversized bomber jacket and jogger pants, while Versatile Vogue pairs a refined sweater with a satin skirt.
Modern Mosaic presents a bold statement blouse that can be styled with tailored pants for work or jeans for a more casual look. Playful Palette showcases vibrant bowling shirts matched with tailored culottes, and Patchwork Paradise, offers a one-of-a-kind pajama set crafted from deadstock fabrics.
“I work with many brands, and I’m always seeking out companies that truly consider their environmental impact,” added Stewart. “That’s why I’m thrilled to collaborate with LilySilk—our shared commitment to sustainability and quality makes this collection truly special.”
Earlier this year, LilySilk opened its first-ever U.S. concept store, in the Meatpacking District in New York.