Highdell Investment to sell 2.36% stake in Kalyan Jewellers to promoter for ₹1,300 Crore 

Following this transaction, the promoter’s shareholding, along with that of the promoter group, will rise from 60.59% to 62.95% 

Bengaluru — Foreign investor Highdell Investment is set to sell a 2.36% stake in Kalyan Jewellers to the company’s promoter, Trikkur Sitarama Iyer, for ₹1,300 crore, according to a stock exchange filing made by Kalyan Jewellers. 

Highdell Investment, an affiliate of Warburg Pincus, will transfer 2.42 crore equity shares at ₹535 per share, totaling ₹1,300 crore. Following this transaction, the promoter’s shareholding, along with that of the promoter group, will rise from 60.59% to 62.95%. 

Kalyan Jewellers’ stock saw a 2.6% increase, closing at ₹556 per share on August 21, recovering from two days of declines. The company’s share price has surged 149.56% over the past year, outperforming the Sensex’s 24.06% gain. Over the last three years, Kalyan Jewellers’ stock has skyrocketed by 786.97%. 

The company reported a 24% year-on-year increase in net profit for the June quarter, reaching ₹177 crore. Revenue for the same period rose by 26.5% to ₹5,535.5 crore, up from ₹4,375.7 crore a year earlier. 

Kalyan Jewellers also plans to acquire a larger stake in Candere, aiming to make it a wholly-owned subsidiary. As of June 2024, the company operates 277 showrooms across its various brands. 

Candere, a prominent player in the affordable and accessible jewellery segment since 2013, has seen steady growth under Kalyan Jewellers’ majority ownership since 2017. With an annual revenue of Rs. 130.3 crore in FY2023-24, Candere has strengthened its market presence and customer preference, especially in leading online marketplaces.  

Over the past sixteen months, Candere has strategically transitioned towards omnichannel commerce to adapt to evolving consumer needs. This transition has involved the recruitment of experienced talent at operational and management levels, and the launch of 11 physical showrooms across India in the last fiscal year. The company aims to quadruple its offline presence in the current fiscal year. 

Retail Jeweller India News