Sep 4, 2023
Watches of Switzerland Group Plc directors bought $1.1 million of stock, after Rolex SA’s plan to buy luxury retailer Bucherer AG prompted a plunge in the shares of the London-listed seller of timepieces.
Chief Financial Officer Anders Romberg, Chairman Ian Carter and non-executive directors Tea Colaianni and Robert Moorhead spent an aggregate of about £890,000 ($1.1 million) buying more than 150,000 shares on Friday, filings to the London Stock Exchange showed on Monday.
“The director share purchases reflect the board’s continued confidence in the company’s strategy and long-term prospects,” a spokesperson for Watches of Switzerland said by email in response to a Bloomberg News query.
The company’s shares rose more than 4% intraday, outperforming the UK midcap FTSE 250 Index.
The stock purchases come after Watches of Switzerland shares plunged last month following Rolex’s announcement. Analysts warned of the risk that Rolex may start directing more supply of its watches toward Bucherer and away from third-party sellers such as Watches of Switzerland.
Investors including Edinburgh-based Abrdn Plc sold shares in Watches of Switzerland following Rolex’s announcement, and the stock is still trading more than 10% below where it was before the planned deal was announced.