Fossil acquires wearable technology company Misfit
Fossil Group has entered into an agreement to acquire wearable technology company Misfit.
The watch brand said the acquisition will enable it to expand its market by offering consumers both traditional timepieces and fashionable connected accessories.
“We have a significant opportunity to add technology and connectivity across our platform of watches and accessories,” said Kosta Kartsotis, chief executive of Fossil Group. “With the acquisition of Misfit, Fossil Group will be uniquely positioned to lead the convergence of style and technology and to become the fashion gateway to the high-growth wearable technology and connected device markets.”
In 2016, Fossil will scale Misfit’s technology across Fossil and Skagen as well its portfolio of 16 brands.
“We fundamentally believe consumers care about both technical functionality and fashionable design. In fact, one without the other is simply not enough. With the acquisition of Misfit, Fossil Group will be positioned to win with the connected consumer,” said Greg McKelvey, chief strategy and digital officer of Fossil Group.
He added: “Our world-class design and global distribution, combined with Misfit’s technology platform, creates a significantly advantaged, multi‐brand and global wearable technology business poised to drive the convergence of fashion and technology.”
Fossil Group expects the acquisition to close before the end of the 2015 financial year with a purchase price of $260 million.
Sonny Vu will serve as president and chief technology officer of connected devices for Fossil Group and will be a member of the company’s executive leadership team.
