Bangalore-headquartered Rajesh Exports Ltd, one of the largest public-listed gold jewellery manufacturing companies in the country, said on Thursday that its board has approved a plan to make an acquisition in Europe.
It did not name any potential targets but said the deal value could be between $250 million and $500 million.
The acquisition has been approved to strengthen the backward integration of the company and strengthen its presence in gold business domestically and globally, it added.
Rajesh Exports manufactures both gold and diamond jewellery and exports its products globally. It is, however, associated more with its gold jewellery unit and has a large manufacturing plant in Bangalore which has an installed capacity to process 25 tonnes of jewellery per annum.
The firm also retails its products through its own network of jewellery showrooms Shubh Jewellers and has 83 retail jewellery showrooms across India.
Early this year, the company said it is getting into the gold finance business through which it would become the first large jewellery firm to get into the gold loan business.
Shares of Rajesh Exports closed at Rs 369.1 each, up 4.29 per cent on BSE in a weak Mumbai market on Thursday.