Tata Group Company Acquires Additional 27.2% In CaratLane For Rs 4,621 Cr

Leading Tata Group company operating in Gems and Jewellery sector, Titan Company Limited on August 19 declared raising stake in its subsidiary, CaratLane to 98.28% by acquiring an additional 27.18% stake for Rs 4,621 crore. Titan Company shares offered shareholders return of 166% in last 3-years and 224% in last 5-years. Check details below:

According to the BSE filing of Titan Company dated August 19, 2023, "With reference to the captioned subject, this is to inform that Titan Company Limited (the Company) has entered into a Share Purchase Agreement today to acquire the entire 91,90,327 equity shares held by the Founder of CaratLane Trading Private Limited (CaratLane) and his family members representing 27.18% of the total paid-up equity share capital of CaratLane on a fully diluted basis."

CaratLane is a subsidiary of the Company and on completion of the aforesaid share purchase, would result in an increase in shareholding of the Company in CaratLane from 71.09% to 98.28% on a fully diluted basis.

Titan Company expects the acquisition to be completed by October 31, 2023.
Commenting on the declaration, C K Venkataraman, Managing Director of Titan said, "Titan has always prided itself in building strong brands that are amongst the leaders in their categories. 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 ofCaratLane for having jointly built a customer-centric brand that all of us in Tata Group can be proud ofand wish him continued success in his future endeavours."

Mithun Sacheti, Founder and Managing Director, CaratLane said, "Having dreamt of making beautiful jewellery accessible and affordable to all, I am immensely proud of what we have collectively achieved at CaratLane in the past 15 years and where the business stands today. 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."

Last trading of Titan Company is Rs 3049.15 apiece with in intraday decline of 0.76% as on August 18, 2023 on BSE. The stock's 52-week high price is Rs 3211.10 apiece and 52-week low price is Rs 2268.90 apiece, respectively. The large cap company has a market capitalisation of Rs 2,70,699.32 crore. Titan Company share witnessed a rise of 22% in last 6-months, gained 23% in last 1-year, soared 62% in last 2-years, and rallied 166% in last 3-years.

Titan Company Limited ("Titan"), a joint venture between the Tata Group and the Tamilnadu Industrial Development Corporation (TIDCO), commenced its operations in 1987 under the name Titan Watches Limited. In 1994, Titan diversified into jewellery (Tanishq) and subsequently into EyeCare.

CaratLane is an unlisted private company engaged in the manufacture and sale ofjewellery and is a subsidiary of Titan. On acquisition, the Company would hold an aggregate of 98.28% of the equity share capital and voting rights ( on a fully diluted basis) in CaratLane. The transaction will be subject to completion ofcustomary regulatory approvals and closing conditions and is expected to be financed through a combination ofcash balances, internal accruals and debt.

Jewellery maker Titan on Saturday announced increasing stake in its subsidiary and new-age jewellery brand CaratLane to 98.28% by acquiring an additional 27.18% share for ₹4,621 crore.

The Tata group-managed firm has entered into a share purchase agreement with CaratLane founders - Mithun Sacheti and Srinivasa Gopalan - and their family members to acquire all the shares held by them representing 27.18%, taking its total holding to 98.28%, said a joint statement.