Gitanjali Gems buys out US-based Samuels Jewelers

New Delhi, Dec 20 (UNI) Leading jewellery retailer Gitanjali Gems Ltd today said it has acquired 97 per cent stake in US-based Samuels Jewelers Inc, through internal accruals and proceeds of the recently concluded 110 million dollars FCCB.

''The acquisition of the tenth largest jewellery chain in the United States with current revenues of Rs 450 crore a crucial footprint in North American market and control over value chain, which will boost our plans to expand the retail presence in India and abroad,'' the company said in a statement.

The company will not only have access to a large US consumer base, but leveraging Samuels' existing retail infrastructure will give it control over the entire value chain in the jewellery business. Samuels' seasoned management and expert employees will also allow a smoother segue into the US market, it said.

The US-based speciality retailer operates 97 stores spread across 18 states.

Samuels' Jewelers Inc has been acquired from its current majority owner and fund manager, DDJ Capital Management, LLC, a boutique investment manager, based in Waltham, Massachusetts, specialising in private equity and debt financings, as well as high yield and special situations investing, which currently manages three billion dollars on behalf of 79 institutional clients.

This is one of the first acquisition by an Indian jewellery company in the organised US jewellery market, which constitutes a huge 35 per cent of the global space, making it a significant step towards moving up the industry value chain, the company stated.

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