WUHAN CITY, China, April 6, 2015 /PRNewswire/ — Kingold Jewelry, Inc. (“Kingold” or “the Company”) (NASDAQ: KGJI), one of China’s leading manufacturers and designers of high quality 24-karat gold jewelry, ornaments and investment-oriented products, today announced that it has entered into a convertible note purchase agreement with a majority-owned subsidiary of Fosun International Limited (HKEx stock code: 00656, together with its subsidiaries, “Fosun”) that will result in $15 million of gross proceeds to the Company when the transaction closes.
Transaction Highlights
Pursuant to the Purchase Agreement, the Company agreed to issue and sell a $15 million aggregate principal amount 6.0% Senior Secured Convertible Note due 2018 (the “Note”), subject to customary closing conditions.
Fosun will have the right to convert the principal amount of the Note into shares of Common Stock at an initial conversion price of approximately $1.15 per share.
The Note bears interest at a rate of 6.0% per year payable annually.
The Note is secured by a bank letter of credit and a personal guarantee by Kingold’s Chairman and Chief Executive Officer, Mr. Zhihong Jia.
The Company intends to use the proceeds from this strategic investment to accelerate the development of the Kingold Jewelry Cultural Industry Park (“Jewelry Park”).
Mr. Zhihong Jia, Chairman and CEO of the Company, commented, “This is a significant investment and important step in Kingold’s corporate development. We believe that aligning our interests with a globally-known and respected financing partner such as Fosun will broaden Kingold’s capabilities as well as potentially change the landscape of China’s gold jewelry market. Both sides conducted considerable due diligence to reach this agreement, and we are excited about the long-term upside from our two companies working together. Fosun owns Zhaoyuan Gold, one of the largest gold mining companies in China, and Yuyuan Group, one of the largest gold retailers in China. We believe there is a tremendous opportunity in the creation of a vertically integrated conglomerate of gold mining, designing, processing and retailing in China. With Fosun’s strong support and resources, Kingold has a great opportunity to accomplish lateral consolidation across a very fragmented gold manufacturing industry in China and become a solid market leader.”
Kingold to Appoint Two New Board Members In conjunction with the Purchase Agreement, the Company will increase the size of the Board from five to seven members, effective immediately upon the closing of the sale of the Note through the appointment of Mr. XiaoFeng Lu and Ms. Min Zhou to the Board. Mr. Lu has been designated by Fosun. The Board also determined to appoint Mr. Lu to the Audit Committee and Ms. Zhou to the Compensation Committee, each to be effective immediately upon the closing of the sale of the Note.
Mr. Lu, age 44, is currently Executive General Manager of Fosun Financial Group. Mr. Lu received a Ph.D. in World Economics from Fudan University, a Master’s in Accounting from Liaoning University and a Bachelor’s degree in Statistics & Operational Research from Fudan University. Mr. Lu is also a certified public accountant in China.
Ms. Zhou, age 42, is currently Vice President of Shanghai Yuyuan Jewelry (Group), Ltd. Ms. Zhou received a Bachelor’s degree in Economics from East China Normal University.
Conference Call Details Kingold also announced that it will discuss today’s announcement in a conference call later this morning (April 6, 2015), at 11:00 a.m. ET.
About Kingold Jewelry, Inc. Kingold Jewelry, Inc. (NASDAQ: KGJI), centrally located in Wuhan City, one of China’s largest cities, was founded in 2002 and today is one of China’s leading designers and manufacturers of 24-karat gold jewelry, ornaments, and investment-oriented products. The Company sells both directly to retailers as well as through major distributors across China. Kingold has received numerous industry awards and has been a member of the Shanghai Gold Exchange since 2003. For more information, please visit www.kingoldjewelry.com.
About Fosun International Limited Fosun was founded in 1992 in Shanghai. Fosun International Limited (00656.HK) was listed on the Main Board of The Stock Exchange of Hong Kong Limited on 16 July 2007. Today, Fosun has established four business engines comprising “insurance, industrial operations, investment and asset management.” It strives to become a world-class investment group underpinned by the twin drivers of “insurance-oriented comprehensive financial capability” and “industrial-rooted global investment capability.” It is dedicated to applying the value investing principle to its investment model of “Combining China’s Growth Momentum with Global Resources.” For more information, please visit www.fosun.com.
Business Risks and Forward-Looking Statements This press release contains forward-looking statements that are subject to the safe harbors created under the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. You can identify these forward-looking statements by words such as “expects,” “believe,” “project,” “anticipate,” or similar expressions. The forward-looking statements in this release include, but are not limited to, statements that the strategic investment will broaden Kingold’s capabilities and change the landscape of China’s gold jewelry market; a vertically integrated conglomerate of gold mining, designing, processing and retailing in China can be created; and regarding lateral consolidation and becoming a solid market leader. Readers are cautioned that actual results could differ materially from those expressed in any forward-looking statements. Forward-looking statements are subject to a number of risks, including those contained in Kingold’s SEC filings available at www.sec.gov, including Kingold’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date on which they are made. Kingold undertakes no obligation to update or revise any forward-looking statements for any reason.
Company Contact Kingold Jewelry, Inc. Bin Liu, CFO Phone: +1-847-660-3498 (US) / +86-27-6569-4977 (China) bl@kingoldjewelry.com
INVESTOR RELATIONS The Equity Group Inc. Katherine Yao, Associate +86 10-6587-6435 kyao@equityny.com
Company to Hold Conference Call with Accompanying Slide Presentation on March 31, 2015, at 6 p.m. ET
WUHAN CITY, China, April 1, 2015 /PRNewswire/ — Kingold Jewelry, Inc. (“Kingold” or “the Company”) (NASDAQ: KGJI), one of China’s leading manufacturers and designers of high quality 24-karat gold jewelry, ornaments and investment-oriented products, today announced its financial results for the fourth quarter and year ended December 31, 2014.
2014 Financial and Operating Highlights (all results are compared to prior year period)
Net sales was $1.1 billion compared to $1.2 billion, the decline was primarily due to lower gold pricing
Processed a total of 60.1 metric tons [one metric ton = 35,274 ounces] of 24-karat gold products, an increase of 17.6% compared to 51.1 metric tons and within the Company’s previously announced guidance range
Gross profit increased to $76.3 million compared to $47.0 million, and gross margin was 6.9% compared to 3.9%, largely due to the previously announced purchase of large quantities of gold at low market prices at year end of 2013 and at the beginning of 2014
Net income was $47.3million, or $ 0.72 per diluted share, compared to $28.3 million, or $0.44 per diluted share
Book value per diluted share was $3.91 at December 31, 2014 compared to $3.31 at December 31, 2013
Kingold meets its previously announced 2014 guidance of between 60 metric tons and 70 metric tons with 60.1 million
2014 Fourth Quarter Financial Highlights (all results are compared to prior year period)
Net sales was $209.3 million, a decrease of 34.1% compared to $317.6 million, largely due to the later Chinese New Year
Processed a total of 13.2 metric tons of 24-karat gold products, a decrease of 7.7% compared to 14.3 metric tons
Net income was $7.7 million, or $0.12 per diluted share, a decrease of 3.2% from $7.9 million, or $0.12 per diluted share
Outlook for 2015
Company expects to process between 70 metric tons and 80 metric tons of 24-karat gold products in 2015.
Mr. Zhihong Jia, Chairman and CEO of the Company, commented, “We are pleased with our 2014 financial and operating results as we continued to improve our 24-karat gold manufacturing and designing capability and distribution network throughout China. In 2014, China’s gold industry was impacted by a weaker economy and overall decline in gold prices. Despite these challenges, Kingold processed 60.1 metric tons of gold products during the year and sold them to its 300 major customers from 25 provinces.”
UPDATE ON Kingold Jewelry cultural industry Park
January 8, 2015: The Company announced that it has completed the framework on the property and move to the next phase of construction, which will be focused on both exterior and interior decoration and design. The Company expects to complete the entire project on time and will have a grand opening by the end of December 2015.
January 21, 2015: The Company announced that it has formally received two separate “Certificates of Presale of Commercial Properties” from Wuhan Housing Security and Management Bureau, which cover five commercial buildings, totaling approximately 123,600 square meters (approx. 1,330,000 square feet). The Company is seeking potential buyers for these commercial properties, and is expected to utilize any proceeds from the presale of these units to complete construction.
Chairman Jia stated, “We continue to receive regular inquiries and positive feedback on our development of the Jewelry Park, and remain on track for a grand opening in December 2015.”
2014 OPERATIONAL REVIEW
In the fourth quarter of 2014, Kingold processed approximately 13.2 metric tons of 24-karat gold products, a decrease of 7.7% over the 14.3 metric tons processed in the fourth quarter of 2013. For the year ended December 31, 2014, the Company processed 60.1 metric tons of 24-karat gold products, an increase of 17.6% over the 51.1 metric tons processed in 2013.
Metric Tons of Gold Processed
Three Months Ended:
December 31, 2014
December 31, 2013
Volume
% of Total
Volume
% of Total
Branded*
5.7
43.2%
8.3
58.0%
Customized**
7.5
56.8%
6.0
42.0%
Total
13.2
100%
14.3
100%
Year Ended:
December 31, 2014
December 31, 2013
Volume
% of Total
Volume
% of Total
Branded*
28.8
47.9%
28.6
56.0%
Customized**
31.3
52.1%
22.5
44.0%
Total
60.1
100%
51.1
100%
* Branded Production:
The Company acquires gold from the Shanghai Gold Exchange to produce branded products.
** Customized Production:
Clients who purchase customized products supply gold to the Company for processing.
For the three months ended December 31, 2014, the Company processed a total of 13.2 metric tons of gold, of which branded production was 5.7 metric tons, representing 43.2% of total gold processed, and customized production was 7.5 metric tons, representing 56.8% of total gold processed in the fourth quarter of 2014. In the fourth quarter of 2013, the Company processed a total of 14.3 metric tons, of which branded production was 8.3 metric tons, or 58.0% of the total gold processed, and customized production was 6.0 metric tons, or 42.0% of total gold processed.
For the year ended December 31, 2014, Kingold processed a total of 60.1 metric tons of gold, of which branded production was 28.8 metric tons, or 47.9% of total gold processed, and customized production was 31.3 metric tons, or 52.1% of total gold processed. In 2013, the Company processed a total of 51.1 metric tons of gold, of which branded production was 28.6 metric tons, or 56.0% of the total, and customized production was 22.5 metric tons, or 44.0% of the total.
2014 FINANCIAL REVIEW
Net Sales
Net sales for the three months ended December 31, 2014 was $209.3 million, compared to $317.6 million for the same period in 2013. The decrease in sales is largely due to the later Chinese New Year. The mid-February Chinese New Year postponed the winter sales peak to January of 2015.
Net sales for the year ended December 31, 2014 was 1.1 billion, decrease of 6.9% from the $1.2 billion reported in the year of 2013. The decrease in net sales was primarily driven by the decrease in the price of gold and to increased sales of customized products.
The Company’s total sales from its investment gold business were $19.2 million for the year of 2014, a decrease of 84.5% from $106.1 million in 2013. Demand for investment gold was down overall in light of the slow down in China’s economy.
Gross Profit
Gross profit for the three months ended December 31, 2014 was $13.9 million, a decrease of 1.8%, from $14.2 million for the same period in 2013.
Gross profit for the year of 2014 increased to $76.3 million, an increase of 62.4%, from $47.0 million for year of 2013.
Gross Margin
The Company’s gross margin was 6.7% for the three months ended December 31, 2014, compared to 4.5% in the prior year period.
The Company’s gross margin for the 2014 fiscal year was 6.9%, up from 3.9% in the prior year period. The substantial increase was due to the fact that the Company purchased large quantities of gold inventory at year end 2013 and beginning of 2014 at low market prices, making the first half production at a cost much lower than normal.
Net Income
Net income for the three months ended December 31, 2014 was $7.7 million, or $0.12 per diluted share based on 66.0 million weighted average diluted shares outstanding, compared to net income of $7.9 million in the prior year period, or $0.12 per diluted share based on 64.5 million weighted average diluted shares outstanding in the prior-year period.
Net income for the year of 2014 was $47.3 million, or $0.72 per diluted share based on 66.0 million weighted average diluted shares outstanding, compared to net income of $28.3 million in the prior year, or $0.44 per diluted share based on 63.9 million weighted average diluted shares outstanding, in the prior-year.
Balance Sheet and Cash Flow
(in millions except for percentages)
12/31/2014
12/31/2013
% Changed
(Audited)
(Audited)
Cash
$
1.3
2.3
(41.7%)
Inventories (gold)
212.4
174.4
21.8%
Working Capital
212.6
199.8
6.4%
Stockholders’ Equity
258.2
214.9
20.2%
Net cash provided by operating activities was $20.3 million for the year of 2014, compared with net cash provided by operating activities of $7.7 million for the year of 2013. The change was mainly because of the increase in net income raised from $28.3 million in the year of 2013 to $47.3 million in the year of 2014.
Kingold’s net cash from operating activities can fluctuate significantly due to changes in inventories (principally gold). Other factors that may vary significantly include the Company’s purchases of gold and income taxes. The Company expects that the net cash it generates from operating activities will continue to fluctuate as the Company’s inventories, receivables, accounts payables, and the other factors described above change with increased production and the purchase of larger quantities of raw materials (principally gold).
OUTLOOK FOR 2015
Based on its existing resources and capacity, strong demand for 24-karat gold products in China, the Company believes that its gold processed is expected to be between 70 metric tons and 80 metric tons during 2015. This guidance is based solely on current projected, organic growth. The Company anticipates narrowing this guidance throughout the year, along with providing additional metrics for investors in the coming months.
Conference Call Details
Kingold also announced that it will discuss these financial results in a conference call on March 31, 2015, at 6 p.m. ET.
The dial-in numbers are:
Live Participant Dial In (Toll Free):
877-407-9038
Live Participant Dial In (International):
201-493-6742
The conference call will also be webcast live. To listen to the call, please go to the Investor Relations section of Kingold’s website at www.kingoldjewelry.com, or click on the following link: http://kingoldjewelry.equisolvewebcast.com/q4-2014. The Company will also have an accompanying slide presentation available in PDF format on its homepage prior to the conference call.
About Kingold Jewelry, Inc.
Kingold Jewelry, Inc. (NASDAQ: KGJI), centrally located in Wuhan City, one of China’s largest cities, was founded in 2002 and today is one of China’s leading designers and manufacturers of 24-karat gold jewelry, ornaments, and investment-oriented products. The Company sells both directly to retailers as well as through major distributors across China. Kingold has received numerous industry awards and has been a member of the Shanghai Gold Exchange since 2003. For more information, please visit www.kingoldjewelry.com.
Business Risks and Forward-Looking Statements
This press release contains forward-looking statements that are subject to the safe harbors created under the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. You can identify these forward-looking statements by words such as “expects,” “believe,” “project,” “anticipate,” or similar expressions. The forward-looking statements in this release include statements regarding Kingold’s outlook with respect to its 2015 outlook for gold processing, its expectations with respect to completion of construction of the Jewelry Park and planned grand opening, as well as its ability to engage in presales and finance the remaining construction. Readers are cautioned that actual results could differ materially from those expressed in any forward-looking statements. Forward-looking statements are subject to a number of risks, including those contained in Kingold’s SEC filings available at www.sec.gov, including Kingold’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date on which they are made. Kingold undertakes no obligation to update or revise any forward-looking statements for any reason.
Company Contact Kingold Jewelry, Inc. Bin Liu, CFO Phone: +1-847-660-3498 (US) / +86-27-6569-4977 (China) bl@kingoldjewelry.com
INVESTOR RELATIONS The Equity Group Inc. Katherine Yao, Associate +86 10-6587-6435 kyao@equityny.com
KINGOLD JEWELRY, INC.
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(IN U.S. DOLLARS)
For the three months ended December 31,
For the years ended December 31,
2014
2013
2014
2013
NET SALES
$
209,333,026
$
317,575,713
$
1,107,558,544
$
1,189,915,923
COST OF SALES
Cost of sales
(195,023,389)
(302,998,188)
(1,030,010,474)
(1,141,671,197)
Depreciation
(365,074)
(370,785)
(1,296,583)
(1,277,374)
Total cost of sales
(195,388,463)
(303,368,973)
(1,031,307,057)
(1,142,948,571)
GROSS PROFIT
13,944,562
14,206,740
76,251,487
46,967,352
OPERATING EXPENSES
Selling, general and administrative expenses
2,025,666
1,609,850
7,343,951
4,749,488
Stock compensation expenses
1,310,995
398,773
3,149,980
1,532,563
Depreciation
61,655
44,930
130,074
155,216
Amortization
3,080
6,125
12,300
12,205
Total operating expenses
3,401,396
2,059,678
10,636,305
6,449,472
INCOME FROM OPERATIONS
10,543,166
12,147,062
65,615,182
40,517,880
OTHER INCOME (EXPENSES)
Other Income
–
–
94,624
–
Interest Income
–
–
305,465
56,253
Other Expense
–
–
–
(81)
Interest expense
(307,991)
(760,649)
(1,847,240)
(1,051,564)
Total other expenses, net
(307,991)
(760,649)
(1,447,151)
(995,392)
INCOME FROM OPERATIONS BEFORE TAXES
10,235,174
11,386,413
64,168,031
39,522,488
INCOME TAX PROVISION (BENEFIT)
Current
1,258,968
3,257,007
16,836,054
11,454,787
Deferred
1,301,027
199,243
–
(272,225)
Total income tax provision
2,559,994
3,456,250
16,836,054
11,182,562
NET INCOME
$
7,675,180
$
7,930,163
$
47,331,977
$
28,339,926
OTHER COMPREHENSIVE INCOME (LOSS)
Total foreign currency translation gains (loss)
$
278,221
$
1,039,417
$
(1,331,032)
$
5,820,020
COMPREHENSIVE INCOME
$
7,953,400
$
8,969,580
$
46,000,945
$
34,159,946
Earnings per share
Basic
$
0.12
$
0.12
$
0.72
$
0.45
Diluted
$
0.12
$
0.12
$
0.72
$
0.44
Weighted average number of shares
Basic
65,957,499
64,334,400
65,918,768
63,495,520
Diluted
65,957,499
64,486,938
66,007,075
63,902,912
KINGOLD JEWELRY, INC.
CONSOLIDATED BALANCE SHEETS
(IN U.S. DOLLARS)
December 31,
December 31,
2014
2013
ASSETS
CURRENT ASSETS
Cash
$
1,331,658
$
2,284,930
Restricted cash
14,793,632
12,668,749
Accounts receivable
503,406
532,386
Inventories
212,396,363
174,433,501
Other current assets and prepaid expenses
57,971
8,252,387
Due from related party
–
52,354,308
Value added tax recoverable
4,501,426
6,220,866
Deferred income tax assets
–
275,882
Total current assets
233,584,456
257,023,009
PROPERTY AND EQUIPMENT, NET
9,390,258
10,686,947
OTHER ASSETS
Deposit on land use right-Jewelry Park
9,819,687
32,721,442
Construction in progress – Jewelry Park
58,310,818
–
Other assets
157,078
157,946
Land use right
492,027
507,117
Total other assets
68,779,610
33,386,505
TOTAL ASSETS
$
311,754,324
$
301,096,461
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Short term loans
$
16,270,745
$
49,572,985
Long term loans – current maturities
28,844,777
–
Other payables and accrued expenses
2,970,770
3,499,717
Income tax payable
978,713
3,269,908
Other taxes payable
777,537
848,739
Total current liabilities
49,842,542
57,191,349
Long term loans
3,672,308
29,004,287
TOTAL LIABILITIES
53,514,850
86,195,636
COMMITMENTS AND CONTINGENCIES
–
–
EQUITY
Preferred stock, $0.001 par value, 500,000 shares
authorized, none issued or outstanding
as of December 31, 2014 and December 31, 2013
–
–
Common stock $0.001 par value, 100,000,000 shares
authorized, 65,963,502 and 64,953,462 shares issued and outstanding
as of December 31, 2014 and December 31, 2013
65,963
64,953
Additional paid-in capital
79,460,175
76,847,205
Retained earnings
Unappropriated
163,002,075
120,946,375
Appropriated
967,543
967,543
Accumulated other comprehensive income
14,743,718
16,074,749
Total stockholders’ equity
258,239,474
214,900,825
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
$
311,754,324
$
301,096,461
KINGOLD JEWELRY, INC.
CONSOLIDATED STATEMENT OF CASH FLOWS
(IN U.S. DOLLARS)
For the years ended December 31,
2014
2013
CASH FLOWS FROM OPERATING ACTIVITIES
Net income
$
47,331,977
$
28,339,926
Adjusted to reconcile net income to cash provided by
SINGAPORE, April 1, 2015 /PRNewswire/ — The HK and Singapore-based investment structure The Watch Fund is officially nominated for the category “Best Alternative Investment Manager” at the renowned WealthBriefingAsia Singapore Awards 2015. Previous winners of the award — which is initiated by the global wealth management news portal WealthBriefing —include Standard Chartered Private Banking, DBS Bank and J.P. Morgan.
Although the nomination is already a high accomplishment for The Watch Fund (TWF), its unique concept may be crucial for the final decision. Investors actually hold and wear two to three times of their investment amount in luxury watches from day one — before TWF eventually sells the watches for more than a 10% net profit. Being the only structure that individually manages accounts in the alternative investing space of watches — and allowing investors to wear them from day one — it has a distinctive position in the category “Best Alternative Investment Manager”.
Dominic Khoo, founder of TWF and Southeast Asia’s only certified watch specialist, feels tremendously honoured to be a nominee: “The review of the applications is an independent and transparent process. The best senior banking and wealth management professionals scan every investment structure and only pick the top performers.”
TWF was only founded in 2013 but already has USD$38,000,000 assets under management — and is challenging a global player such as HSBC. “The nomination is a clear distinction to other alternative asset funds — it shows our top performance and innovation.” says Khoo.
The Watch Fund has two distinctive features: It is already the world’s biggest watch investment vehicle and the one with the highest returns. The performance is remarkable: Whilst one “unlucky” investor took back a 10% net gain after 364 days of wearing his three 6-digit priced watches, other investors have done better — with the highest return of 54% in just three months or 216% annualized.
However, the typical investor is not a watch enthusiast: “Ironically you can say that our investors have no real interest in watches.” says Dominic Khoo. “They are focused on the returns and those are great. The Watch Fund has an international database of more than 9000 watch collectors that buy from the investors. If you understand the difference between a collector and an investor, you can understand where the money making is.“ he explains.
“Just imagine us a one-year fixed deposit — instead of a 1% interest rate and a token umbrella, you can expect more than 11% and a whole range of investment-grade luxury watches as your personal, verifiable, usable collateral from day one.” Investors can even choose from an optional 10% net annualized guaranteed return — but Khoo clarifies that whilst this option might mean downside is protected, upside over and above the 10% goes straight to The Watch Fund’s revenue.
Another unique proposition of The Watch Fund— that could influence the final decision for the WealthBriefingAsia Singapore Awards 2015 — is that there are no annual or management fees. It survives of transaction fees which Khoo believes makes the TWF and investors completely aligned: “If you don’t make money — we don’t survive.” says Khoo.
The performance of alternative investments is outstanding: According to the Coutts Index (2014) passion investments such as watches have risen 176% since 2005 and are outperforming shares in the MSCI All Country Equity Index. “Bearing in mind that this period includes the recession of 2008, it is important to invest not just in physical products with dying labour craft but also in uncorrelated assets in a world of volatility.” Khoo advises.
The award ceremony of the WealthBriefingAsia Singapore Awards 2015 is initiated by the global wealth management news portal WealthBriefing and will be held on 16 April in Singapore’s world-famous Raffles Hotel. WealthBriefing is published by UK based Clearview Financial Media, the world’s leading provider of business intelligence in the private banking and wealth management sector. Aiming to connect investment vehicles and client communities in financial centers such as New York, London, Hong Kong and Singapore, the prestigious awards are handed over by financial experts and top managers.
Media Enquiries
For further information, please contact
Jasmine Tuan Public Relations The Watchfund Pte. Ltd. 6 Kay Siang Road, Singapore 248924 Phone: +65-6366-4642 Mobile: +65-9843-1997 Email: pr@thewatchfund.com Website: www.thewatchfund.com
NEW YORK, March 27, 2015 /PRNewswire/ — Kenneth Cole and Geneva Watch Group announce the launch of the new Kenneth Cole Connect™ Smart Watch Collection as wearable technology takes over the accessory market. The simple and stylish smart watches hit stores in April.
“As a designer, I always try to give customers what they want but in a way that they don’t necessarily expect it,” states designer Kenneth Cole. “Wearable technology is one of the fastest growing fashion categories today and I am excited to be on the forefront of embracing this platform.”
Kenneth Cole Connect™’s assortment of men’s and women’s smart watches was introduced in March at Baselworld, the international watch and jewelry trade show. Highlights included a photo booth where visitors showed off their favorite Kenneth Cole Connect™ watch and shared photos in real time over social media. The activation gained 13,127 impressions in three days.
Kenneth Cole is leading the watch pack as one of the first fashion brands to enter the smart watch market, starting at $135. Featuring Bluetooth smart technology, Kenneth Cole Connect™ comes in 12 styles containing app-enabled functionality that lets users stay discreetly connected via alerts for incoming calls, texts and calendar events.
Buyers can control music on their smartphone remotely as well as take selfies longer than their arm. With the “selfie” trend growing rapidly, Kenneth Cole Connect™ allows wearers to control their smartphone’s camera and take pictures straight from their wrists.
Other features include a stopwatch, low battery phone alert, 3 ATM water resistance and “Don’t Leave Me Alerts” that inform wearers when they are losing Bluetooth connection, so they will never lose their phone again. Further differentiating itself from other smart watches, Kenneth Cole Connect™ operates on a normal watch battery, so no charger is necessary.
About Kenneth Cole Productions, Inc.
Kenneth Cole Productions, Inc. designs, sources, and markets handbags, apparel, and accessories under the names Kenneth Cole Collection, Kenneth Cole New York, Kenneth Cole Reaction, and Unlisted, as well as footwear under Gentle Souls. The Company has also granted third-party licenses for the production of men’s, women’s, and children’s apparel among fragrances, watches, jewelry, eyewear, and other accessory categories. The Company’s products are distributed through department stores, specialty stores, company-owned retail stores, and its e-commerce website. Further information can be found at KennethCole.com.
About Geneva Watch Group
Founded in 1974, Geneva Watch Group is a global leader in the design, manufacturing, and distribution of digital and analog watches and clocks. The company creates timepieces under license for fashion and lifestyle brands such as Kenneth Cole New York, Kenneth Cole Reaction, Sperry Top-Sider, Tommy Bahama, Ted Baker London, and Zoo York as well as producing its own proprietary brands including Freestyle, Game Time and Breil. Additionally, Geneva Watch Group designs and manufactures watches and clocks under private label for most of the world’s largest retailers. For more information, please visit GenevaWatchGroup.com
BASEL, Switzerland, March 27, 2015 /PRNewswire/ — Baselworld 2015, THE global trendsetting event for the watch and jewellery industry, concluded today on a positive note after eight intensive and memorable days. The biggest and most prestigious brands in the world, the finest retailers and the global press once again united under one roof and capitalised on the myriad of business and networking opportunities that are exclusive to Baselworld. A record number of press attendees underlined the relentless growth of interest in the show.
Universally acknowledged as the one unmissable trendsetting event for an entire industry, Baselworld is the only show that unites key players from all sectors from around the world: watchmaking, jewellery, diamonds, gemstones and pearls, as well as machines and suppliers. The undisputed premier event once again saw 1,500 brands unveil and showcase their innovations and creations. With marginally fewer buyers present (-3% vs 2014), Baselworld 2015 had around 150,000 attendees (including representatives from exhibiting companies, buyers, journalists and other visitors) from over 100 countries. They felt the pulse of the industry, discovered the novelties, and purchased the latest collections which will set the trends for the coming year.
More than 4,300 (+ 7.5% vs 2014) representatives of the press from over 70 countries attended the show. These numbers signify a new all-time record further underscoring the international interest in the show. In keeping with Baselworld’s wide reach and universal attractiveness, a livestream of the opening press conference was broadcast and followed by some 3,000 journalists from all over the world.
A RESILIENT, RESPONSIVE AND CREATIVE INDUSTRY
The show has been a positive one for the watch and jewellery brands. With resilience, responsiveness and creativity, the industry continues to lead the way forward such that the attractiveness and interest that this sector creates continue growing. Nowhere else are more innovations, creations and new collections revealed than at Baselworld – all the elements that make this show THE trendsetting event worldwide.
Reflecting on this year’s edition of Baselworld, François Thiébaud, President of the Swiss Exhibitors’ Committee, said he was reminded of the show’s rich history and the evolution from its simple roots to the superlative event it is today. “Baselworld is universally acknowledged as the premier event for the global watch and jewellery industry. What makes it exceptional is that Baselworld is the only show that fully reflects the excellence of the industry by uniting everyone from the smallest to the largest brands representing every sector; and it offers each of these a prestigious platform to present themselves in the best light.”
Summarising his impression of this year’s show, Mr Thiébaud said that the feedback he had received from brands over the course of the eight days, leaves him “convinced that this year will be a positive one for the industry because everyone has continued to innovate, not just with creating products, but also with intensifying communication with the media and buyers”.
Commenting on the value of the show, Karl-Friedrich Scheufele, Co-President of Chopard, is of the opinion that “Baselworld continues to be the major milestone in the year, allowing us to meet and work with all our major clients around the globe. Our press meetings are equally important and increasing every year”.
This opinion was also shared by Thierry Stern, President of Patek Philippe, for whom Baselworld continues to be the most important annual event where “we get to meet all our partners and the entire global network in a concentrated time”. Mr Stern found this year’s show to be “an excellent edition that was really successful in terms of numbers and the interest in our products from retailers and the press”.
Enthusiastic about Baselworld and the success of the LVMH Group at this year’s show, President of the group’s watch division, Jean-Claude Biver, said that for their brands, TAG Heuer, Hublot and Zenith, “the results are excellent and we are above all our expectations”.
SHINING SUCCESS FOR DIAMONDS, GEMSTONES & PEARLS TRADE
Baselworld goes beyond the world of watches and jewellery as it is also the leading global event for diamonds, gemstones and pearl merchants. The best players and dealers from around the world participate in Baselworld because of the immense audience it attracts among which are the biggest customers from all markets.
First time Baselworld exhibitor, Shanghai Kimberlite Diamond Co., Ltd, very enthusiastically praised the value of their participation. “This is the first time we’ve exhibited at Baselworld and we can honestly say this is the one and only show that offers us so many unique opportunities. In the course of the eight days we were able to maximise the effect of our participation as we met with the most important buyers from all over the world and talked to the most significant journalists. All in all, this has been a tremendously successful show for both our brand and our business,” said Kimberlite Chairman Dong Liusheng.
PRESS ATTENDANCE AT BASELWORLD 2015 SETS NEW RECORD
More than 4,300 (+ 7.5 % vs 2014) of the world’s financial press, major dailies, lifestyle publications, all the trade press, the biggest TV channels and key players in the field of social media from over 70 countries attended the show to be among the first to discover those innovations and creations unveiled at Baselworld. With everyone from magazine editors seeking to discover cutting-edge trends and innovative designs to bloggers who deliver up-to-date editorials to consumers in every corner of the planet, the international press once again played a major role in creating an unrivalled global impact and underlining the show’s premier position for the watch and jewellery industry.
BASELWORLD – NEVER CEASING TO INNOVATE TO MEET EVOLVING REQUIREMENTS
Summing up the successful conclusion of the 2015 edition of this superlative show, Sylvie Ritter, Managing Director of Baselworld, said that “Baselworld is the heart of a whole industry which spreads throughout the entire world from here. This statement is becoming increasingly true with every year that passes, as Baselworld strengthens its position as the leader year after year”. Further reflecting on what makes this show the one unmissable event for the entire industry, Ms Ritter very clearly states: “This envied and enviable position has to be defended untiringly; that’s why Baselworld moves forward every year, improving convenience and impact, and never ceases to innovate to meet the constantly evolving requirements.”
THE NEXT BASELWORLD WILL BE HELD FROM 17 – 24 MARCH 2016
In a grand ceremony befitting the most important event for the world’s watch and jewellery industry, Baselworld 2015 was officially opened by Swiss Federal Councillor Johann Schneider-Ammann.
The undisputedly premier event that unites key players from all sectors of the global watch and jewellery industry under one roof, Baselworld 2015 opened its doors today in the presence of Swiss Federal Councillor Johann Schneider-Ammann. With 1,500 brands exhibiting and over 4,000 journalists from all over the world expected to attend, Baselworld 2015 will run from 19 to 26 March 2015.
THE SUPERLATIVE EVENT AND INDISPENSABLE PLATFORM FOR THE INDUSTRY
Baselworld is universally recognized as THE one unmissable global event for watches, jewellery and all related sectors. Unique in uniting all key players from the world of watches and jewellery, diamonds, gemstones, pearls and machines and supplies under one roof, Baselworld draws every year 150,000 professionals to Basel who attend to feel the pulse, discover new trends and buy the latest creations from the 1,500 brands. Being at the heart of whole industry, Baselworld spreads its message throughout the entire world, reinforcing its worldwide leadership position year after year. The show untiringly defends this enviable position, moving forward every year, improving facilities and impact, and never ceasing to innovate to meet the constantly evolving requirements. According to Ms Sylvie Ritter, Managing Director of Baselworld, “the attractiveness and buzz that this sector creates go on growing,” and equally importantly, “the attraction for consumers and the interest of the media are unceasing.”
GLOWING TRIBUTES TO AN INDUSTRY LEGEND
Mr René Kamm, CEO of the MCH Group, said he was honoured to have Federal Councillor Schneider-Ammann open Baselworld, underlining that it showed how much value the Swiss government placed on the show and by that also on the Swiss watch and jewellery industry. He went on to say that Baselworld had experienced openings where the conditions were more favourable and the mood accordingly optimistic, “but fortunately there were never occasions when we had the impression that the watch and jewellery industry was running out of innovative ideas.”
And on that note, Mr Kamm paid a special tribute to industry legend, Mr Jacques J. Duchêne, President of the Exhibitors’ Committee, who had unexpectedly passed away just before the opening of the show. Mr Kamm highlighted many of Mr Duchêne’s excellent qualities and acknowledged that through his “indefatigable commitment” to Baselworld his “contribution to the development of the show and raising it to this standard was immense.” This year Mr Jacques J. Duchêne would have celebrated two anniversaries: his 60th attendance at Baselworld and his 20th as President of the Exhibitors’ Committee.
BASELWORLD ORGANISED LIKE THE FINE MECHANICS OF A HIGHLY-PRECISE WATCH MECHANISM
Basel-Stadt Cantonal Council Member, Christoph Brutschin, welcomed the guests and conveyed the best wishes of the governments of Basel-Land and Basel-Stadt. He compared the show to a watch describing it as “similar to the fabrication of a watch mechanism, a lot of thought and passion with a high standard of precision is invested in this masterpiece that is Baselworld.” Clarifying his statement in horological terms, he said, “The precise workmanship of the wide variety of cogs that are tuned to the last detail to work in harmony, makes Baselworld a top-class event.” Mr Brutschin acclaimed Baselworld for its economic importance to the region, mentioning the thousands that visit the city during the eight days and also because it generated 13,000 jobs in the region.
He too paid tribute to Mr Jacques J. Duchêne, lauding his life’s work with the words: “His passionate and generous commitment to the development of Baselworld and the watch industry marked and guided his life,” adding that Mr Duchêne “constantly sought to ensure the sustainability of Baselworld and contributed to its reputation all over the world.” Mr Brutschin ended his speech with a Jacques J. Duchêne quote: “The creative capacity of this industry is undeniable. You only have to open your eyes to see it every year.” These words comforted Mr Brutschin and strengthened his “conviction that the Swiss watch industry, clearly focused on exports, would indeed rise to the current strong franc crisis with creativity, innovation and outstanding Swiss quality.”
BASELWORLD PLAYS A KEY ROLE IN CELEBRATING A VITAL SWISS INDUSTRY
Rounding off the opening ceremony, Federal Councillor Johann Schneider-Ammann praised watchmaking as an art, portraying it thus: “With the invention of the mechanical clock, time was, in the true sense of the word, turned into an art. An art that is driven to ever higher peaks – in precision, in technological ingenuity and in ever-evolving aesthetic forms.” As the minister responsible for the business research, innovation and labour, Mr Schneider-Ammann affirmed the importance of the industry for Switzerland by describing how it has developed into a uniquely strong economic force, which now boasts more than 500 companies that provide more than 50,000 people with a livelihood. “I am of course proud that Switzerland is one of the most important centres of art and that Baselworld celebrates this with due solemnity,” said Mr. Schneider-Ammann by way of conclusion.
BASELWORLD 2015 WILL BE HELD FROM 19 – 26 MARCH 2015.
BASEL, Switzerland, March 19, 2015 /PRNewswire/ — One of the world’s premier watchmakers, Movado Group, Inc. (MGI) (NYSE: MOV) is proud to present exceptional new collections of timepieces at Baselworld 2015 from some of the most recognized and respected names in time. From Swiss luxury to accessible fashion watches, each one of the Group’s brands is recognized for its inherent quality and distinctive image.
“We are excited to unveil these extraordinary new timepieces from all of our brands at Baselworld 2015,” stated Efraim Grinberg, Chairman & CEO, Movado Group. “Consolidated in one unified space at Baselworld, these exciting new timepieces reflect our commitment to offer beautifully designed and innovative products from some of the world’s most powerful and iconic brands.”
New from Movado is an exceptional collection of automatic timepieces for men and women. Powered by Swiss self-winding movements, the 1881 Automatic collection features contemporary designs that reflect the brand’s proud Swiss heritage in mechanical timekeeping. Exclusively for women, the elegant new Aria, in white ceramic and stainless steel illuminated by diamonds, redefines sport-chic with brilliant simplicity. The futuristic Sapphire family with its signature flat, edge-to-edge crystal introduces four men’s models – two on straps and two on a new, thinner “freefalling” bracelet design.
EBEL’s passion for excellence, technical innovation and sensual design continues with introductions to the timeless Wave collection – these new EBEL Wave Lady and Gent models are luxury infused with a fresh and modern vision and of course, extreme quality.
Concord continues its dramatic surge in creativity and innovation with the re-launch of the classic 1980’s Mariner – two new Mariner Ladies models merge the signature 12-sided bezel of the original with smooth new angles and ergonomic planes, capturing the essence of today’s chic and modern woman.
An American classic, as well as its reinvention, is part of the Coach brand’s DNA – its watches possess all the attributes that make something a classic: dependability, durability and design integrity. For Baselworld 2015, Coach focuses on men, launching a full collection with 40 different skus including the introduction of two new families – Bleecker and Sullivan Sport – expressed in a variety of attitudes, unique to the brand and designed to fit perfectly into the Coach men’s lifestyle assortments.
Combining clean lines and classic styling with sporty looks, Hugo Boss launches the BOSS Black Aeroliner – pure icy elegance with a silver bracelet paired with a metallic blue chronograph dial. The BOSS Orange New York is a marvel of contrasting simplicity – the black leather strap and black dial with bold white numbers are offset with a hint of orange. Both new watches share the sleek, clean and stylish Hugo Boss DNA.
In 1927, Rene Lacoste heralded the birth of contemporary sportswear with his design for the original L.12.12 Polo shirt – almost a century later Lacoste watches reignite the essential, authentic brand spirit with the L.12.12 timepiece collection. In six confident new colors, the result is timeless, simple, wearable elegance for men – the promise of another true classic.
Juicy Couture’s Juicy girl indulges in the high-impact embellishment and rich tones of the new Luxe Couture family. Luminous timepieces designed with set crystal bezels and stainless steel, gold-plated, or rose gold-toned bracelets with dials offered in soft sunset hues touched with shimmering diamond dust – clean and crisp sport details, redefined in a romantic and feminine way.
Since Tommy Hilfiger founded his namesake company in 1985, it has become one of the world’s leading designer lifestyle brands, recognized internationally for celebrating the essence of “classic American cool.” The 2015 watch collection builds on the signature Tommy Hilfiger characteristics to reflect a preppy spirit in sporty, chronograph, pilot and diving watch-inspired automatic models. A range of metals and color play a significant role in the collection – with pops of Tommy Hilfiger’s quintessential red, white and blue.
The Scuderia Ferrari racing team is the heart and soul of the Scuderia Ferrari Orologi brand. The watches draw inspiration directly from the cars themselves. Premiering at Baselworld 2015 is the Gran Premio Worldtime Automatico Limited Edition with a sportier, black-out look inspired by the Ferrari FXX. The dial features a unique city time zone display highlighting Ferrari’s headquarters in Maranello and ten iconic grand prix race locations around the globe.
All brands are showcased in Movado Group’s state-of-the-art exhibition space in Hall 1.0 South at the Basel Exhibition Center in Basel, Switzerland.
Movado Group, Inc. designs, manufacturers, and distributes Movado, EBEL, Concord, Coach, HUGO BOSS, Lacoste, Juicy Couture, Tommy Hilfiger, and Scuderia Ferrari brand watches worldwide.
BIEL/BIENNES, Switzerland, March 19, 2015 /PRNewswire/ — The Jewel in the EBEL ‘crown’ of luxury timepieces, the new EBEL Wave Steel and Gold Wave Diamond Dial is a stunning steel and 18K yellow gold women’s watch. Its luminous white mother-of-pearl dial is inlaid with diamonds in an undulating wave design inspired by the collection’s iconic bracelet with its wave-shaped links. A breathtaking piece of jewelry in its own right, this beautifully crafted timepiece adorns the wrist as a sparkling symbol of pure pleasure and happiness.
The EBEL Wave Lady Wave Diamond Dial captivates through its beauty and innate glamour. EBEL believes every woman deserves her red carpet moment, and this new timepiece brings sophistication and A-list glamour to any situation.
Elegant, modern and timeless… like diamonds.
About EBEL
A passion for innovation and excellence in watch design has always been at the heart of the EBEL brand, founded by Eugene Blum and Alice Levy, in La Chaux-de-Fonds, Switzerland in 1911. Since its inception, EBEL has remained true to their core values, manufacturing fine Swiss watches that marry technical expertise and distinctive style.
Renowned today for its iconic bracelet design with signature wave-shaped links, EBEL continues to create timepieces that embody luxury and contemporary elegance with subtle, yet exquisite detail.
Mariner Lady Diamond- Time is eternal, diamonds shine forever.
BIEL/BIENNE, Switzerland, March 19, 2015 /PRNewswire/ — Moonlight spills down onto the water in the harbor, its crystal clear, sil…
– It’s the most scratch-resistant massive gold watch ever created: A gold that can only be altered by diamonds
– In celebration of the 10th Anniversary of the iconic Big Bang, Hublot reveals today, one week before Baselworld, the Big Bang Unico Full Magic Gold.
NEW YORK, March 11, 2015 /PRNewswire/ — It is the perfect fusion of respect for tradition and 21st century creativity. The fusion of a revolutionary material – the famous Magic Gold, which is the world’s only scratch-resistant gold, certified as 18K and developed by Hublot – and the iconic design of the BIG BANG, with its Manufacture Chrono: the UNICO.
Ricardo Guadalupe, CEO of Hublot, declared: “The fusion of materials is in Hublot’s DNA. Four years ago, Hublot created Magic Gold, the only scratch-resistant gold in the world. Still today, Hublot is the only brand to offer this material, whose hardness is close to 1,000 Vickers, more than twice that of ‘standard’ 18 carat gold, which only reaches 400 Vickers.“
The Magic Gold is a noble material protected by patents, certified as 18 carats by the Central Office for Precious Metals Control, and developed by Hublot in Switzerland alongside the prestigious EPFL (Swiss Federal Institute of Technology), several months of fine-tuning took place in the manufacture to machine the famous alloy.
Since November 2011, when Magic Gold was unveiled to the world’s press, Hublot has equipped itself with the means to produce this material in-house from start to finish thanks to its high-tech foundry at the Nyon Manufacture, which is home to the ceramic sintering and high-pressure metal casting processes.
As you are probably already aware, this revolutionary material is a fusion of 24 carat gold (nature’s ultimate noble material) and the latest high-tech materials expertise. Components made from this material are produced using a complex process: A boron carbide powder is pre-formed in moulds very similar in shape to that of the finished parts, in this case the watch’s bezel. The pre-formed powder is then hardened at a very high temperature, creating a rigid, porous structure. After this operation, 24K gold alloyed with 3% molten liquid gold is injected under very high pressure with inert gas at a high temperature, allowing the metal to fill the ceramic pores and creating a “fusion” of the two to produce Magic Gold.
Almost three years of collaboration and research have gone into achieving this impressive result: a completely new type of gold, an almost inalterable precious metal which retains its own characteristics. The first watches made from Magic Gold were presented at BaselWorld2012 in a very limited Big Bang Ferrari edition which reflected the shared DNA of the 2 brands: Exclusivity, innovation and technology.
