Watches of Switzerland will consider a float after posting an increase in sales for its fourth quarter.

The luxury jewellery group is mulling a possible stock market float in a bid to supercharge its growth.

If the initial public offering (IPO) proceeds, it will comprise a combination of new shares issued by Watches of Switzerland and existing shares to be sold from existing shareholders including Apollo Global Management.

The group has engaged Barclays and Goldman Sachs to act as joint global coordinators, book runners and sponsors. BNP Paribas and Investec Bank will act as joint book runners if the offer goes ahead.

Rothschild will be the group’s financial adviser throughout the process.

The news came as the retailer posted record annual results for the 52 weeks to the end of April 2019. Year-on-year group revenue increased 22.5% to £773m, bolstered by a 9.2% uplift in like-for-like sales.

If the IPO goes ahead, Watches of Switzerland will use the investment to reduce its debt, boost brand recognition and bolster its recruitment and staff retention.

The luxury retailer intends to launch the IPO with at least 25% of its issued share capital with up to a further 15% being made available in the event of high demand for shares.

Watches of Switzerland chief executive Brian Duffy said: “Today’s announcement signals the next stage in that journey, leveraging our scale, retail and ecommerce expertise, and strong stakeholder relationships to continue our profitable growth strategy.

“There are significant growth opportunities ahead of us, both in the UK and the US, many of which are already being realised. We have a proven track record, an experienced management team and strong brand support for our plans.”