Dholakia Lab-Grown Diamond and Fenix jointly acquire Israeli LGD producer Lusix in $4 million deal

An Israeli court approved the Dholakia-Fenix bid for Lusix, citing their commitment to retaining employees, supporting growth and maintaining R&D operations in Israel for continuity

Tel Aviv: In a joint venture, Fenix Diamonds and Dholakia Lab-Grown Diamond have acquired the Israeli lab-grown diamond producer Lusix for $4 million. Founded in 2016 by Benny Landa, Lusix has been a leader in lab-grown diamond innovation, with over $152 million invested since its inception. The acquisition is seen as a strategic move to strengthen both companies’ positions in the growing lab-grown diamond market.

The deal, approved by a judge at the Central District Court in Lod, follows a competitive bidding process. The court favoured the Dholakia-Fenix bid due to their commitment to retaining Lusix’s employees and supporting the company’s growth goals. Under the terms of the acquisition, production will be split between the two companies, with each taking on different aspects of Lusix’s operations.

Fenix and Dholakia have also pledged to maintain Lusix’s research labs and teams in Israel, ensuring continuity of the company’s R&D work. The agreement includes commitments to retain Lusix’s staff for at least one year, with the goal of supporting the company’s ongoing development and innovation.

Both companies see the acquisition as a critical step toward scaling production capacity and advancing research and development in the lab-grown diamond industry. “Fenix Diamonds is committed to delivering affordable, ethical, and sustainable lab-grown diamonds to a global customer base. The technological advancements that the Lusix acquisition brings align with our vision of remaining at the forefront of innovation. We want to offer our customers greater value through larger diamonds in a cost-effective manner,” said Naman Parikh, Managing Director of Fenix Diamonds.

Hasu Dholakia, from Dholakia Lab-Grown Diamond, emphasized that the deal supports their long-term growth plans. A recent Bain & Co. report projects the lab-grown diamond market will grow to $29 billion by 2028. Dholakia noted that the Lusix acquisition would enhance their ability to expand production and foster innovation. “Adding Lusix to our portfolio will help us expand production capacity and push the boundaries of innovation within our field, providing the foundation for new products and technologies,” he stated.

The deal marks a significant step for both companies, reinforcing their commitment to sustainability and expanding their production capacity. Fenix and Dholakia Lab-Grown Diamond aim to continue developing new manufacturing technologies and promoting the use of renewable energy in diamond production.Retail Jeweller India News