USA : India based jewelry maker buys out Samuels Jewelers
\nDecember 21, 2006
\nFibre2fashion.com, India<\/p>\n
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Gitanjali Gems Ltd announced that it has acquired a majority ownership interest in Samuels Jewelers Inc from funds managed by DDJ Capital Management (DDJ). Terms of the transaction have not been disclosed.<\/p>\n
Samuels operates 97 retail jewelry stores in 18 states throughout the United States. The company will remain headquartered in Austin, Texas.<\/p>\n
Gitanjali CFO, G.K. Nair, stated, \u00e2\u20ac\u0153This acquisition is consistent with Gitanjali\u00e2\u20ac\u2122s objective to conform to a vertically integrated model, one that benefits from all the efficiencies that are realized through control of the entire supply chain, inclusive of retail. To that end, Samuels is an ideal match to complement Gitanjali\u00e2\u20ac\u2122s strengths in manufacturing diamonds and jewelry products.\u00e2\u20ac\u009d,<\/p>\n
Mehul Choksi, Gitanjali\u00e2\u20ac\u2122s Chairman, added that, \u00e2\u20ac\u0153Gitanjali is always seeking business opportunities which are consistent with its philosophy of adding incremental value at every level of the supply chain, thus ensuring greater shareholder value and bottom line profits.”<\/p>\n
“Gitanjali\u00e2\u20ac\u2122s 11.5 million square foot Hyderabad Special Economic Zone will provide a tremendous support system for product development and jewelry manufacturing and will offer unparalleled economic benefits to Gitanjali\u00e2\u20ac\u2122s customers worldwide, including Samuels.\u00e2\u20ac\u009d<\/p>\n
Nehal Modi, CEO of Gitanjali\u00e2\u20ac\u2122s U.S. affiliated companies, Diamlink and JMC, commented that \u00e2\u20ac\u0153the industry is prime for consolidation and we viewed this opportunity with Samuels\u00e2\u20ac\u2122 stores and management team as an ideal compliment to our ongoing operations in the U.S. By combining Gitanjali\u00e2\u20ac\u2122s extensive industry resources with Samuels\u00e2\u20ac\u2122 rich network of retail stores, this transaction represents an exciting and unique endeavor for all those associated with Gitanjali and Samuels.\u00e2\u20ac\u009d<\/p>\n
Samuels\u00e2\u20ac\u2122 President and CEO, Randy McCullough commented, \u00e2\u20ac\u0153Samuels is excited to have Gitanjali as a majority shareholder and vendor partner. We look forward to working with Gitanjali and see this transaction as a tremendous opportunity for expanded market share and future growth.\u00e2\u20ac\u009d<\/p>\n
Financo, Inc. served as financial advisor and Greenberg Traurig, LLP as legal advisor to Samuels. Keynote and Virtus Global Partners served as financial advisors, Klestadt & Winters, LLP as legal advisors, and Marks, Paneth and Shron LLP as accountants to Gitanjali.<\/p>\n
In connection with the stock purchase transaction, Samuels has obtained a financing facility from Wells Fargo Retail Finance, LLC. Samuels anticipates that the $60 million facility will be more than sufficient to meet its cash flow needs for the foreseeable future.<\/p>\n
Samuels Jewelers Inc<\/p>\n","protected":false},"excerpt":{"rendered":"
USA : India based jewelry maker buys out Samuels Jewelers December 21, 2006 Fibre2fashion.com, India Gitanjali Gems Ltd announced that it has acquired a majority ownership interest in Samuels Jewelers Inc from funds managed by DDJ Capital Management (DDJ). Terms of the transaction have not been disclosed. Samuels operates 97 retail jewelry stores in 18 […]<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[411],"tags":[],"yoast_head":"\n