Monday, April 29th 11:23 AM IST
Gitanjali announces merger of Gems London Co with Imacbc Co of Tokyo
# Gitanjali Gems
Gems London Co. Ltd. was merged with Tokyo based Imacbc Co. Ltd on 1st April 2013. After the merger, Imacbc shall become completely integrated company from sourcing raw material from Thailand and China, manufacturing in two facilities in China, to retailing in Japan
MUMBAI (Bullion Street): Gitanjali Gems Ltd., has announced the merger of Gems London Co. Ltd. with Tokyo based Imacbc Co. Ltd. Gitanjali Gems Limited held 30% stake in Gems London Co. Ltd through its Hong Kong based wholly owned subsidiary, Aston Luxury Group Ltd. Currently, Gems London is one of the largest seller of jewellery through its TV channel, Gems TV in Japan. The revenues for FY2013 exceeded USD 90mn.
Gems London Co. Ltd. was merged with Tokyo based Imacbc Co. Ltd on 1st April 2013. After the merger, Imacbc shall become completely integrated company from sourcing raw material from Thailand and China, manufacturing in two facilities in China, to retailing in Japan. In addition to selling through GemTV, the merged Imacbc plans to expand its existing jewellery retail network in Japan. The combined revenue of consolidated business is expected to more than double in next 2 years.
IMACBC CO., LTD after Gems London Ltd’s merger with it, becomes the only company in Japan with capabilities of both manufacturing jewellery products and selling them through its own television shopping channel in Japan. The integration will shorten lead and response times and allow for consistencies and efficiencies at both ends of the jewellery value chain. The strong base that will emerge will enable the company to develop its business rapidly as it will have the ability to address customer demand in the Japanese market most effectively and efficiently. The resultant business structure will obtain strong competitive advantages from this consolidation. These advantages will be of significant relevance to the company’s operations in the global marketplace.
Japan being the 3rd largest diamond jewellery market in the world offers immense potential to add value to the Group’s vertically integrated model.
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