Titan Acquires Additional 27.18% Stake In CaratLane With this deal, the shareholding of Titan in CaratLane has increased from 71.09% to 98.28%
By Teena Jose
Opinions expressed by Entrepreneur contributors are their own.
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
Titan Company Limited today announced that it has signed a Share Purchase Agreement with the Founder of CaratLane Trading Private Limited and his family members to acquire all the shares held by them representing 27.18% of the total paid-up equity share capital (on a fully diluted basis) of CaratLane for a total consideration of INR 4,621 crore.
With this deal, the shareholding of Titan in CaratLane has increased from 71.09% to 98.28%. This transaction is expected to be financed through a combination of cash balances, internal accruals and debt, according to the exchange filings by the company.
"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 of CaratLane 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," said C K Venkataraman, managing director, Titan.
Titan Company Limited, a joint venture between the Tata Group and the Tamil Nadu Industrial Development Corporation (TIDCO), commenced its operations in 1987 under the name Titan Watches Limited.
CaratLane had started as a pure online brand in 2008. Titan first invested in the brand in 2016 and has worked in partnership with Tanishq over the past 8 years. For FY 2022-23, the turnover of CaratLane was INR 2,177 crore.
"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. I whole-heartedly thank Titan as well as extend my heartfelt gratitude to colleagues, partners and million-plus customers whose support and love has paved the way to our success and made it India's largest digitally native omni-channel jewellery brand," said Mithun Sacheti, founder and managing director, CaratLane.
