Mumbai-based jewellery major Gitanjali Gems Ltd has strategically acquired the remaining 50% stake in its Indian joint venture company Morellato India Pvt Ltd for an undisclosed sum. Morellato India was a 50:50 JV between Gitanjali Gems and Morellato & Sector Group of Italy.
Post this transaction, Morellato India becomes a wholly owned subsidiary of Gitanjali Gems Ltd, the company said in its filing to the Bombay Stock Exchange.
The joint venture was formed in 2007 when Morellato participated through its subsidiary, Armo Netherlands Finance BV. Morellato is an Italian jeweller and watch maker, and also licensee for fashion groups such as Cavalli, Miss Sixty and Moschino. It also manufactures jewels, watches and accessories under its own brand.
Morellato India holds marketing, promotion, sales and distribution rights of Morellato, Sector (non-Swiss made collection), Roberto Cavalli, Just Cavalli and Miss Sixty watches in India.
Gitanjali Gems has been aggressive in strengthening its presence in India. In December 2009, the company acquired 76% stake in Salasar Retail Ltd, a New Delhi-based retailer having 10 stores in northern India through its subsidiary, Gitanjali Lifestyle Ltd. Earlier, it acquired Alliance Jewellers Pvt Ltd, a Lebanon-based company through its subsidiary Brightest Circle Jewellery Pvt Ltd, and a 70% stake in a mobile retail store MobileNXT in India.