LVMH Acquires Minority Stake in La Joux Perret to Strengthen its Watchmaking Capabilities

Source: monochrome-watches.com

Strategic context within LVMH

The Watches and Jewellery division of LVMH includes TAG Heuer, Zenith, Hublot and Bvlgari. Each of these brands follows its own philosophy, yet all depend on a stable supply of reliable movements. Although LVMH owns several manufacturing facilities and has invested heavily in in-house calibres for mechanical models, the group still relies on external suppliers for specific categories of movements. The most notable example is the domain of solar powered quartz mechanisms, an area in which LVMH has limited internal heritage.

Since 2022 TAG Heuer has been working closely with La Joux Perret on the development of a solar quartz calibre used in the Aquaracer Solargraph and later Formula 1 models. This collaboration demonstrated the effectiveness of the Swiss manufacturer in combining Citizen Group’s expertise in solar technology with traditional Swiss construction. The minority acquisition by LVMH therefore consolidates an existing industrial relationship and secures access to a key technology that underpins a growing segment of TAG Heuer’s collection.

The profile and history of La Joux Perret

La Joux Perret is based in La Chaux de Fonds and has become one of the most versatile medium scale movement manufacturers in Switzerland. The company traces its origins to Jaquet SA, founded in 1990, and over the decades it built a reputation for producing complex mechanisms for independent and established brands. In 2012 the Citizen Group purchased the firm as part of its strategy to strengthen its presence in the Swiss mechanical watch industry.

Today La Joux Perret produces a full range of calibres. These include the G100 automatic movement with a 68 hour power reserve, designed to be dimensionally compatible with widely used Swiss base movements. The portfolio extends to complication movements such as tourbillons, monopusher chronographs and constant force mechanisms. This wide technical breadth gives the company a level of relevance that goes beyond simple ebauche production and positions it as a strategic industrial partner.

Why the acquisition matters

By acquiring a minority stake, LVMH gains influence in a company that can support several key objectives.

First, it secures long term supply for both automatic and quartz solar movements. For TAG Heuer in particular this reduces reliance on external suppliers such as Sellita for base automatic calibres. The G100, with its extended power reserve and robust architecture, provides a modern alternative that fits seamlessly into existing case designs.

Second, it strengthens the group’s ability to develop movements that can be shared across multiple brands. Although each Maison maintains its identity, a coordinated supply of reliable base movements allows LVMH to allocate internal resources to high end projects such as chronograph innovation at Zenith or ultra thin development at Bvlgari.

Third, the acquisition grants access to La Joux Perret’s capabilities in high complications. While Zenith, Bvlgari and Hublot each have their own technical competencies, an additional source of complicated mechanisms offers flexibility and additional research potential.

Implications for the wider watch industry

The acquisition fits a larger pattern in Swiss watchmaking. Over the past decade major groups have moved to secure their supply chains following uncertainties surrounding the availability of ETA movements. Vertical integration has become a strategic necessity rather than a luxury, particularly for brands positioned in the competitive premium segment.

LVMH’s minority investment also highlights the increasing value of mid sized manufacturers. Companies like La Joux Perret are capable of producing both volume movements and specialist complications, offering a combination that is rare in the modern landscape. Their expertise serves independent clients, but it also offers strategic leverage for conglomerates seeking stability and technological depth.

Outlook

La Joux Perret will continue to operate independently under the leadership of the Citizen Group. This structure benefits all parties. LVMH gains secure access to strategic technologies without absorbing the manufacturer or disrupting its commercial relationships. Citizen retains control of a valuable Swiss asset while strengthening ties with one of the most influential groups in luxury watchmaking.

In the coming years the collaboration is expected to focus on three key areas: expansion of solar powered quartz technologies, development of next generation automatic base calibres and joint work on selected high complication projects. For LVMH the investment reinforces a long term commitment to technical excellence and industrial capability in a market where reliability of supply has become just as important as design and brand identity.