UPDATE 4-Swatch buys Harry Winston jewellery arm for $750 mln
* Acquisition includes $750 mln in cash, $250 mln net debt
* Mining arm renamed Dominion Diamond Corporation
* Deal seen as reasonably priced, Swatch shares rise 3 pct
* Harry Winston made famous by Marilyn Monroe
By Silke Koltrowitz
ZURICH, Jan 14 (Reuters) - Jeweller Harry Winston is selling its high-end watches-to-necklaces division to Swatch Group in a $750 million cash deal that expands the Swiss watchmaker's luxury offering and lets the Canadian group concentrate on its diamond mines.
Monday's deal reverses a 2004 acquisition which turned Harry Winston, the group that discovered what became Canada's Diavik diamond mine - now controlled by Rio Tinto - into a miner and jeweller.
The original mining arm is renamed Dominion Diamond Corporation after the sale of the Harry Winston luxury business, which started as a small jeweller in New York in 1932 and rapidly became a favourite with movie stars.
For Swatch, the deal is evidence of the benefits of strong Asian demand for watches, handbags and other high-end items that has given companies the firepower to expand their portfolio. Continued...