Strategic Acquisition Unveiled: Jewellery Giant Expands Portfolio with New Subsidiary
The stock has delivered a 1-year return of 23 per cent and has gone down by 25 per cent in 3 years.
Renaissance Global Limited has announced the acquisition of a 97 per cent stake in Verigold Jewellery India Private Limited, marking a significant strategic move. This acquisition, completed on March 29, 2025, involves the transfer of 1,58,433 equity shares from the promoters of Verigold to Renaissance Global. The transaction, valued at Rs 1,58,433, was conducted on an arm's length basis, guided by a valuation report from a registered valuer.
Verigold, incorporated in 2018, is engaged in the jewellery retail business, with a focus on designing, manufacturing, and trading jewellery and related artifacts. The acquisition is part of Renaissance Global's internal restructuring strategy aimed at streamlining operations and enhancing brand focus. As a result, the IRASVA brand, previously under Verigold, will now be integrated into the Renaissance Global brand umbrella, offering significant growth opportunities in the Indian market. This move is expected to create synergies and boost operational efficiency within the company's portfolio.
Renaissance Global Ltd, established in 1989, is a prominent player in the diamond-studded jewellery manufacturing sector and a trader of cut and polished diamonds. The company operates through both B2B and D2C models, with a strong presence in the USA, Canada, UK and key Asian markets. It has launched seven D2C websites to market and supply both licensed and owned brands. The company’s product offerings include branded jewellery, customer brands, and plain gold jewellery, with customizable options in lab-grown diamonds.
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Renaissance Global holds licensing agreements with major global brands such as Disney, Hallmark, and Warner Bros., and owns brands like Irasva and Jewelili. Its clientele includes renowned names like Fred Meyer, Helzberg Diamonds, and department stores like Macy’s and Walmart. The company operates eight manufacturing units across Mumbai, Bhavnagar, and Dubai, with a production facility capable of crafting over 1,000 unique designs monthly. Renaissance Global is considering exiting its plain gold business to free up capital and deleverage its balance sheet. In FY24, the revenue was primarily driven by customer brands, contributing 59 per cent, while licensed brands and plain gold each contributed 21 per cent.
Renaissance Global Limited has a market capitalization of over Rs 1,300 crore. The stock has delivered a 1-year return of 23 per cent and has gone down by 25 per cent in 3 years. The Price-Earnings (PE) Ratio stands at 18.28.
Disclaimer: The article is for informational purposes only and not investment advice.