Audemars Piguet (AP) has just announced a majority stake in Inhotec, a supplier of components for high-end mechanical movements. Long a supplier to AP, Inhotec produces parts ranging from base plates to springs, in both raw and fully decorated states.

The value of the deal was not revealed, but founder Alexandre Eme will retain a minority stake and continue to serve as chief executive of Inhotec, which was founded in 2011. According to the announcement, AP will “provide strategic and financial support” while leaving Inhotec to retain “operational autonomy” over “managerial decisions, industrial activities and commercial relationships”.

Lucas Raggi, the chief industrial officer of AP, explains the acquisition “is about consolidating key strategic skills and supporting the continuity of an expertise that is essential to the future of haute horlogerie“.

AP’s acquisition of Inhotec reflects two trends. One is the longstanding and continued development of AP’s production capabilities, exemplified by the recent inauguration of the expansive Arc manufacture in Le Brassus. The other is macro, a slowdown in business for specialised suppliers across the watchmaking value chain.