The Gucci luxury goods group has signed an agreement to take a controlling 85 per cent stake in the Geneva-based Bédat company, which produces watches for the top end of the market.

No financial details of the transaction were released but there will be no job losses.

"Each of the parties is very enthusiastic about the future and we are very happy that our paths have come together," said Christian Bédat, president of the watch company.

Founded in 1996, the Bédat company has developed rapidly, particularly in the United States. Turnover this year is estimated at SFr20 million ($11.7 million).

Production at Bédat should be 5,000 pieces this year, with prices ranging from SFr6,800 to SFr51,000.

In a statement, Gucci said that Bédat would be developed as a priority in the Japanese, European and other Asian markets, while the brand would continue to be promoted in the United States.

Gucci is already active in the watch sector with the Gucci, Yves Saint-Laurent and Boucheron brands.

swissinfo with agencies

In compliance with the JTI standards

More: SWI swissinfo.ch certified by the Journalism Trust Initiative