Tata Group-owned Titan Company acquires 27.18% stake in CaratLane for Rs 4,621 crore

Tata Group-owned Titan Company today announced that it has signed a Share Purchase Agreement to acquire a 27.18% stake in Caratlane held by the founder and his family members for Rs 4,621 crore. 

CaratLane manufactures and sells jewellery items. With this acquisition, the Company now owns 98.28% of the equity share capital and voting rights ( on a fully diluted basis) in CaratLane.

The transaction will be subject to the completion of customary regulatory approvals and closing conditions and is expected to be financed through a combination of cash balances, internal accruals and debt, the company informed in an exchange filing.

Founded in 2008, CaratLane started as a purely online brand with an aim to lead and shape the fast-growing Indian market for affordable and accessible jewellery. 

In 2016, Titan made its first investment in CaratLane and over the past 8 years, in partnership with Tanishq, the brand has grown by leaps and bounds, the company said.

CaratLane has expanded consumer purchase preferences offering beautiful fashionable jewellery for the contemporary woman of today's era.

C K Venkataraman, Managing Director, Titan, said: "Titan has always prided itself in building strong brands that are amongst the leaders in their categories. We have great faith in the India Consumer story and believe that the growth journey of CaratLane has only begun and has a long way to go. We thank Mithun Sacheti, Founder and Managing Director ofCaratLane for having jointly built a customer-centric brand that all of us in Tata Group can be proud of and wish him continued success in his future endeavours."

Mithun Sacheti, Founder and Managing Director, CaratLane, added: "Having dreamt of making beautiful jewellery accessible and affordable to all, I am immensely proud of what we have collectively achieved at CaratLane in the past 15 years and where the business stands today. Looking into the future, there couldn't be a more ideal destination for CaratLane than Titan and the esteemed Tata Group, who will provide the perfect opportunities for CaratLane to continue to grow from strength to strength."

Titan Company is a joint venture between the Tata Group and the Tamilnadu Industrial Development Corporation (TIDCO), which started operations in 1987 under the name Titan Watches.

In 1994, Titan expanded its business operations into jewellery (Tanishq) and subsequently into EyeCare. Since then, the company has expanded its presence in other product ranges such as fragrances (SKINN), accessories and Indian dress wear (Taneira) and Women's Bags (IRTH).

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