- Swatch, a watchmaker with 43% of voting shares, is considering delisting due to debt.
- The CEO declared that Mark Hayek, his nephew, will make the decision to succeed him as CEO and that he will not be giving any orders.
The Chinese market is expected to be challenging until the end of the year as consumers are hesitant about price rises. Omega, Tissot, and Longines are considering having their shares delisted by the family, but this would require a lot of debt, which CEO Marc Hayek doesn’t like.
China’s market in trouble
Swiss watchmaker Swatch Group CEO Nick Hayek predicts that the Chinese market will be challenging until the end of the year due to consumers’ hesitance over higher prices. He stated that while China still has great potential, consumers are waiting a long time before making purchases and are becoming more price sensitive due to excessive price increases in many areas. Hayek expects the Chinese market to remain difficult until the end of the year.
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The ‘Swatch’ business
Swatch, a watchmaker known for high-end models like Omega, Tissot, and Longines, is considering delisting its shares by its family, who control 43% of the company’s voting shares. The decision is seen as beneficial for the company’s long-term development, but would require massive debt, which Hayek, who chairs the company, dislikes.
The CEO of the company, Marc Hayek, has been asked if his nephew, who is set to join the board in May, will eventually replace him as CEO. Hayek, who is committed to the company and represents the corporate culture, has not been ordered to take over, stating that it is his decision.
