Diamond certification firm International Gemmological Institute (India) Ltd has struck a deal to acquire US-based gemstone testing company American Gemological Laboratories (AGL) for $13.2 million (Rs 121 crore).
Mumbai-listed IGI, which is majority-owned by private equity firm Blackstone, will acquire the New-York headquartered AGL through its US unit.
AGL, owned by AGL Holdco and founded in 1977, has an international testing facility that offers coloured gemstone analysis, identification and enhancement reports and countryâ€ofâ€origin reports. In 2024, the US firm reported revenue of $3.85 million.
With the acquisition, AGL will look at expanding its colour gemstone certification services beyond the US market. For IGI, the acquisition diversifies its revenue stream from grading and certification of diamonds and will enable it to expand its addressable market, said a press statement.
The acquisition, to be done in two tranches, will be completed in two months. The first tranche of $9 million will be done at close, and the second tranche, post the closing, will be subject to conditions.
“By combining AGL’s scientific leadership in coloured gemstones with IGI’s global platform, we are building a future-ready certification ecosystem that delivers scale without compromising integrity or science,” said Tehmasp Printer, managing director and global chief executive officer of IGI.
The acquisition comes around a year after IGI India listed on public markets, in which Blackstone scored spectacular returns from a partial exit. Currently, Blackstone holds a 76.55% stake in IGI India.
