PARIS — With an aim to bolster its activity in the Far East, Lalique Group said Tuesday that it has inked a partnership agreement with Damian Ltd.
The support and network of Angela Leung and Deborah Ho, the entrepreneurs behind Damian Ltd., “are anticipated to open a wealth of opportunities for Lalique to extend the reach of its crystal and jewelry offerings in Greater China, and to tailor its interior design, art and hospitality concepts to demands in the Far Eastern markets,” Lalique Group said in a statement.
The agreement includes Lalique Group proposing to its shareholders the launch of a rights issue involving 997,300 new shares, of which Damian Ltd. has agreed to subscribe to 380,000 shares for 11.4 million Swiss francs, or 9.9 million euros/$11.4 million. The Hong Kong concern is also to invest 10 million euros in a joint venture with Lalique China, to which Lalique Group will contribute its business in the country. Lalique Group is to own 51 percent of the shared operations.
“We strongly believe that this is not only a business venture between two companies, but also an enhancement of the cultural links between the traditions of China and France,” said Leung.
The proposed ordinary capital increase is subject to shareholder approval at an extraordinary general meeting set for December in Zurich, Switzerland. If it’s a go, the share capital will be increased by an aggregate nominal amount of up to 199,460 Swiss francs from today’s 1 million Swiss francs through the issuance of 997,300 new shares, Lalique Group said. Shareholders will have the right to subscribe to one new Lalique Group share for five shares owned. The subscription price is 30 Swiss francs per offered share, the company said.
The transaction is expected to close in January.
Lalique Group, a publicly listed company based in Zurich, also has activities including fragrances, cosmetics, furniture and gastronomy.