Kong
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Sincere Watch Ltd is Back and targeting at China & India...
(Text is from the press release material)
SINCERE WATCH LIMITED TEAMS UP WITH GLOBAL ICONS TO STRENGTHEN ITS LEADERSHIP IN THE ASIAN LUXURY WATCH SECTOR
- Poised for exponential growth in luxury demand with the global economic recovery
- Global luxury market expected to soar to US$880 billion by 2010
Singapore, December 2, 2009
– Strengthened by new global shareholders, Sincere Watch Limited - the
premier luxury watch specialist -is poised to extend its leadership in
the Asian luxury watch industry.
It is now back on track for strategic expansion to take a bigger slice of the growing Asian luxury watch market.
Its
major shareholders now include Standard Chartered Private Equity Ltd
(SCPEL), L Capital Sincere Cayman Ltd (L Capital) and Triple A
Enterprises Pte Ltd (TAEPL).
Leading these entities are Mr
Alastair Morrison, Managing Director / Global Head of Private Equity at
Standard Chartered Bank, Mr Ravi Thakran, Managing Director of L
Capital Asia, L.L.C (L Capital Asia) and Group President of South Asia,
South East Asia & Middle East for LVMH Group, and Mr Tay Liam Wee,
Director of TAEPL and Chairman and Group Managing Director for Sincere
Watch Limited.
Together, they own close to 80% of the shares in Sincere Watch Limited with the rest owned by a group of banks.
Mr
Tay will serve as Sincere Watch Limited’s Chairman and Group Managing
Director with Mr Morrison and Mr Thakran as non-executive directors of
the company. The other non-executive director is Mr John Batchelor,
representing the group of bank shareholders, who is an Executive
Director of Ferrier Hodgson Limited.
This new consortium of
shareholders opens up fresh opportunities for synergistic alliances
that can be tapped to enhance Sincere’s core competencies.
Sincere
Watch and Mr Tay, who won Ernst and Young’s Entrepreneur of The Year
Award in 2004 and Business Times’ CEO of the Year Award in 2007, can
now leverage on Standard Chartered’s established international network
and rich experience in Asia, and L Capital Asia’s knowledge and
business focus on luxury in key Asian cities to grow its business even
further.
Mr Tay said: “We are seeing some signs of improvement
in luxury spending as the global economy continues to recover. With L
Capital and SCPEL on board, Sincere has been given the golden key to
unlock the buying power brought about by the massive wealth generated
in Asia, in particular China and India. With the backing of two of the
strongest global icons, we will be able to sharpen our competitive edge
and accelerate our growth plans to take our business to a higher
level.”
CORE BUSINESSES
Sincere,
Singapore’s oldest and most established homegrown retailer of
brand-name luxury watches, has streamlined its core businesses into
three major divisions looking at fine watch retailing, fine watch
distribution and fine food & wine distribution. These three pillars
of operations give the Group a strong focus in Asia as a luxury
products company. Sincere carries a portfolio of over 40
internationally acclaimed brands, including over 10 exclusive brands
such as Franck Muller, CVSTOS, Ebel and F.P. Journe.
SINCERE’S GLOBAL SHAREHOLDERS – SCPEL AND L CAP
SCPEL,
the private equity investment arm of Standard Chartered Bank, has been
in Asia for the past seven years. It takes minority stakes in Asian
companies and Sincere is currently its only luxury watch investment.
L
Capital Sincere Cayman Ltd (L Capital) is an investment holding company
with L Capital Asia as its major shareholder and Mr Ravindar Singh
Thakran holding the remaining minority stake. L Capital Asia is a
private equity fund set up by Flavius, a subsidiary of leading luxury
group LVMH. It is also LVMH’s third fund that invests in emerging
luxury goods companies in Asia.
Said Mr Morrison: “Sincere
Watch is SCPEL’s first investment in the luxury goods space, and we
were drawn to this investment because of its sound business
fundamentals and our confidence in its core competencies. The luxury
timepiece industry is one that is unique – it boasts a robust
value-chain that translates into delivering long term service and value
for its customers. Sincere has a proven record of success in the
industry in the region, and coupled with our strong international
network and our deep knowledge of Asian companies, we see this
investment as a very strong compelling Asian growth story.”
A
veteran of almost 20 years in the luxury industry, Mr Thakran is
confident the new consortium of shareholders will strengthen Sincere’s
position as Asia’s leading watch retailer. He said: “Our investment in
an aspirational brand like Sincere is a good strategic fit to L
Capital’s focus on luxury businesses worldwide. Sincere is another gem
for L Capital in its luxury growth paradigm. We will lend support to
Sincere to expand its Asian footprint – especially into China and
India, which account for more than 64% of the wealth in Asia Pacific.
These two markets will also be the main drivers of global luxury
demand. LVMH group will lend Sincere its backing when it comes to
negotiating for the best retail locations for its stores. We will also
allow Sincere access to our database of high-networth customers who
regularly purchase its Hennessy cognac and Louis Vuitton bags, among
others, potentially widening Sincere’s market for its luxury watches.
We are not here just with capital but we offer extensive value in terms
of connectivity and deep market knowledge in luxury retail across the
globe.”
AT THE HELM
The
management of Sincere Watch continues to be helmed by the core
management team; comprising Chairman and long-time Group Managing
Director, Mr Tay Liam Wee, Mr Kevin Chau, Ms Tay Liam Wuan and Mr Ong
Ban, each of whom heads key operations in the Group. Mr Tay is in
charge of the overall development of the Group’s business, in
particular, strategic planning and business expansion. The Franck
Muller division, a key division for the Group, is led by Mr Chau who
spearheads the overall growth and development of the brand with his
invaluable experience heading Franck Muller Asia. He is closely
assisted by Ms Tay with operational execution. The Sincere Fine Watch
division, the cornerstone of the Group’s business, is driven by Mr Ong.
GOING FORWARD
With
Asia leading the way for a rebound in economic growth, global luxury
demand is set to rise to US$880 billion by 2010. According to a
recently released Wealth Report by Capgemini-Merrill Lynch, financial
wealth is expected to grow to US$48.5 trillion by 2013 with the
Asia-Pacific region seeing the highest annual growth rate of 12.8%.
Both China and India currently account for more than 64% of the wealth
in Asia Pacific.
The Wealth Report notes that watches are an
increasing “investment of passion” for high net worth individuals
(HNWI). Already Asia currently takes up the lion share of over 45% of
the Swiss watch exports. Singapore, in particular, will see a boost in
well-heeled visitors to its world-class integrated resorts slated for
their soft opening launch early next year.
Commenting on the
outlook for Sincere, Mr Tay said, “We should make the most of these
opportunities which are at our doorstep. To do so, we must make a
concerted effort to improve our customer service, knowledge, and after
sales service. With all these in place and with the strong backing of
our global shareholders, we can evolve into a truly global premier
luxury watch retailer based in Asia, with specialist knowledge and
diverse offer. Today, Sincere already boasts one of the most
comprehensive portfolios of global luxury watch brands.”
About Sincere Watch Limited
The
Group is one of Singapore’s oldest and most established retailers and
distributors of brand-name luxury watches. Today, it operates more than
30 boutiques and has more than 70 dealers across its distribution
network spanning 11 countries – Australia, China, Hong Kong, Indonesia,
Macau, Malaysia, Singapore, South Korea, Taiwan, the Philippines and
Thailand.
The Group’s core business is in fine watch retailing
and distribution, carrying a portfolio of many internationally
acclaimed brands and enjoying exclusive agency rights for more than 10
brands, such as Franck Muller, CVSTOS, Ebel and F.P. Journe. The Group
also operates a fine food and beverage business through its
wholly-owned subsidiaries, Culina Holdings Pte Limited, Culina Pte
Limited and Food Resources Pte Limited, widening its base as a luxury
goods company.
About Standard Charted Private Equity Limited
Standard
Chartered Private Equity Limited (SCPEL) is a company incorporated
under the laws of Hong Kong and is an indirect wholly-owned subsidiary
of Standard Chartered Bank. SCPEL has been formed primarily as an
investment holding company of Standard Chartered Bank to make private
equity investments.
As the private equity arm of Standard
Chartered Bank, SCPEL makes investments of $25-150 million in mid to
late stage companies in need of expansion capital or acquisition
finance, and in management buy-outs. SCPEL has offices in Singapore,
Hong Kong, Beijing, Mumbai and Seoul and invests in companies located
in Greater China, Korea, South East Asia or India. SCPEL is an active
partner that provides board-level strategic advice and access to the
international network of Standard Chartered Bank.
About L Capital
L
Capital Sincere Cayman Ltd (L Capital) is an investment holding company
in which L Capital Asia holds a majority stake of 97.30% and Mr Thakran
holds the remaining minority stake of 2.70%.
L Capital Asia is
a US$400 million private equity fund sponsored by the LVMH Group, a
global leader in luxury that has more than 77,000 employees and
commands a presence in Asia where it derives 40% of its revenues.
The Investment team comprises of nine investment professionals based across Singapore, Shanghai and Mumbai.
Prior to the start of the press conference ....
with
Mr Alastair Morrison, Managing Director / Global Head of Private Equity at Standard Chartered Bank
South East Asia & Middle East for LVMH Group,
Mr Tay Liam Wee, Director of TAEPL and Chairman and Group Managing Director for Sincere Watch Limited
&
Mr Alastair Morrison, Managing Director / Global Head of Private Equity at Standard Chartered Bank
Press Members ....
Emcee, Moon Yee, announcing the start of the press event and invited Mr Tay to address the presses...
Mr Tay Liam Wee, Director of TAEPL and Chairman and Group Managing Director for Sincere Watch Limited
Established in 1954 and its mission is " to put more than a watch on the wrist of everyone."
and the 4 basic values of Sincere Watch are Excellence, Passion,Innovation and Credibility.
Has a network of 100 points of presence across Asia.
Recent brands included - Rolex, Breguet and Blancpain.
be focusing on China.
For the mono-brand boutiques, Sincere Watch has added Rolex besides Omega and Franck Muller.
Also mentioned Patek could be coming up soon and CVSTOS, first Boutique in the Asia will be
opening by January next year.
Introducing the BoDs ...
Mr John Howard Batchelor was not present.
Mr Alastair Morrison, Managing Director / Global Head of Private Equity at Standard Chartered Bank
South East Asia & Middle East for LVMH Group
the projected figure was only about USD 60 to 80 billion. The figure has since grown to USD880 billion.
A point to note was the trend (on the above table), the consumption of Swiss watches
from Asia is reaching 50%.
Kong
Sincere Watch Ltd is Back and targeting at China & India...
Majority shareholders are banks - why?
I'm too sure in this case but if I had to hazzard a guess
I think it is more than watches....
Kong, for L Capital and Triple A, I can understand but...
They are not but ...
