Gatemore Capital Management has acquired a stake in Watches of Switzerland Group Plc and is urging the luxury watch retailer to implement a substantial share buyback program, estimated between £25 million and £50 million.

Gatemore's managing partner expressed during a recent investor summit that the company has responded positively to the proposal. Gatemore is also suggesting that Watches of Switzerland consider a listing in the United States, as there is interest from long-only funds looking to invest in the luxury watch market, particularly the Rolex brand.

Additionally, Gatemore recommends that the company explore acquisition opportunities in the US and among other watch retailers. Despite a challenging year, with shares losing over a third of their value, Watches of Switzerland's stock rose 0.9% in London trading, bringing its market capitalization to approximately £1 billion.