Birks Group has completed its previously $9-million acquisition of the European Boutique luxury watch and jewelry-store chain, which operates in the Greater Toronto Area.

The transaction includes the purchase of seven stores—four multi-brand and three mono-brand boutiques—as well as storefronts for TAG Heuer, GUCCI, and Diamonds Direct, and the European.ca e-commerce platform. Birks also entered into a licensing agreement to operate the Canadian brand Diamonds Direct.

“We are delighted to complete the acquisition of European,” said Jean-Christophe Bédos, president and CEO of Birks. “The European stores have prime locations in important malls in the Greater Toronto Area and carry high-end luxury brands which will complement Birks Group’s offering. We now enter into a period of transition where we will be liaising closely with the European team and we look forward to welcoming Jordan Sutkiewicz, Michelle Ceresney and European’s employees to the Birks family.”

Former owners Eric Sutkiewicz, Lynn Sutkiewicz, Jordan Sutkiewicz and Michelle Ceresney added: “After nearly 50 wonderful years of serving our loyal clients, we are proud to have sold our family business to Birks Group, a well-respected and trusted pan-Canadian retailer of fine jewelry, watches and gifts that shares the same commitment to quality and customer service as European.”

The stores’ employees are moving to Birks as a result of the sale.

To help fund the acquisition, Birks secured a $13.5-million incremental loan from SLR Credit Solutions and entered into a $3.75-million loan agreement with Mangrove Holding S.A., one of its controlling shareholders. Both loans mature in December 2026. Birks said remaining proceeds will support working capital as the company continues to pursue its strategic growth plans.

Photo: European Boutique