US/CARIBBEAN. Tiffany & Co said yesterday that one of its subsidiaries has entered into an agreement to sell 100% of travel retail chain Little Switzerland to NXP Corporation.
NXP operates retail stores under the brands “˜Jewels’ and “˜Azura by Jewels’ in the Caribbean, offering branded jewellery and watches.
Little Switzerland runs 25 stores in the Caribbean, mainly targeted at travellers. It specialises in jewellery, watches, China, crystal and accessories. It has stores in Aruba, Barbados, Curacao, Grand Turk, Key West, Nassau, Puerto Rico, St Kitts, St John, St Thomas and St Maarten.
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The Tiffany & Co flagship in New York – one of the world’s most iconic retail identities |
Tiffany said the loss related to the transaction is expected to reduce the company’s after-tax earnings in the second quarter ended 31 July by about US$0.15 to US$0.18 per diluted share.
The company expects to complete the transaction on or about 31 August.
Earlier this year Tiffany disclosed that it had hired Evercore Group to assist management in exploring “various strategic alternatives” related to Little Switzerland.
Tiffany expects to report its second quarter results on 30 August when it plans to discuss the post-sale financial benefits of the deal.
Tiffany & Co operates jewellery and speciality retail stores and manufactures products through its subsidiary corporations.
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