The acquisition will be financed through a combination of internal accruals, existing cash reserves, and debt, the company confirmed.
Months after the death of late billionaire Ratan Tata, Tata Group’s jewellery maker Titan is set to acquire a majority 67% stake in UAE-based Damas Jewellery, the holding company for the Damas jewellery business in the Gulf Cooperation Council (GCC) region, as announced in a BSE filing on Monday.
According to a report, Titan’s wholly-owned subsidiary Titan Holdings International FZCO signed a definitive agreement with Mannai Corporation on Monday to purchase its 67% shareholding in Damas LLC (UAE), the current holding company for the Damas jewellery business in GCC countries.
How Titan finalised the deal with Damas Jewellery?
The deal was finalised with Damas International Limited, a subsidiary of Qatar-based Mannai Corporation. The transaction is valued at approximately $282 million (AED 1,038 million). The acquisition will be financed through a combination of internal accruals, existing cash reserves, and debt, the company confirmed. Titan will buy 67% in jewellery retailer Damas from Qatar-listed Mannai Corporation for AED 695 million ($189 million or Rs 1,630 crore), establishing itself as one of the prominent Indian jewellers in West Asia.
After the acquisition, Titan will have the option to acquire the remaining 33% stake after December 31, 2029.
Titan Company, a joint venture between the Tata Group and the Tamil Nadu Industrial Development Corporation (TIDCO), owns brands such as Tanishq and Titan EyeCare.
What Managing Director of Titan said on this acquisition?
CK Venkataraman, Managing Director of Titan, said, “With the Damas acquisition, Titan Company is stepping out from its diaspora focus into other nationalities and ethnicities. Damas is a prestigious brand revered in the GCC markets for its product innovation, quality and customer experience.”
He added, “The acquisition not only creates a significant new global opportunity for Titan, but also enhances Titan’s overall position in the jewellery market in the GCC countries and brings in multiple synergy benefits in talent, retail networks and supply chain.”
About Damas Jewellery
Founded in 1907 and based in Dubai, Damas Jewellery operates 146 stores across the six GCC countries: UAE, Saudi Arabia, Qatar, Oman, Kuwait, and Bahrain.
Alekh Grewal, Group CEO of Mannai Corporation, said, “We are delighted that Titan is taking the opportunity to invest in the future of Damas. Both Titan and Damas share the same values in terms of passion for beautiful jewellery, innovative design and dedicated customer service.”
Mannai will retain a minority stake in Damas for the next four years as Damas’s growth plans are implemented, Grewal noted. He added that Mannai intends to use the proceeds from the sale to strengthen its resources, supporting further expansion of its core trade and IT services businesses, and reducing Group debt.
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