Temasek Plans To Invest $100Mn In Indian Jeweler BlueStone
Singapore state-owned Temasek intends to acquire 20 per cent shares in Indian jeweler BlueStone at a valuation of 100 million USD.
Temasek Holdings Limited is planning to secure a 20 per cent stake in Bengaluru-based jewelry company BlueStone for 100 million dollars.
BlueStone, which is backed by the Indian Industrialist Ratan Tata and the capital venture Accel, can now bring to fulfilment its plan to dominate the jewelry business in India.
The investment pact would strongly elevate the value of BlueStone to about 500 million dollars. The jeweler is running 150 stores in Indian subcontinent at present. However, by 2024, it has set a target to open 300 stores.
The Singapore based state-owned investment firm have already been interested in investing in BlueStone, however the financial details and potential valuation of the deal came into picture recently.
However, the CEO of BlueStone Gaurav Kushwaha and Temasek both were unavailable to make any comments on the deal as this news flashed out into the public.
BlueStone faces tough competition in the market alongside thousands of independent jewelry vendors both small and large, as well as big brands such as Kalyan Jewelers, and Titan company-owned CaratLane and Tanishq.
Even so, the cherry on the cake is that BlueStone also offers online sales in similar lines with its fellow contender CaratLane, the practice which most traditional jewelers fight shy off.
The Head of the Singapore investment firm in India, Ravi Lambah, had mentioned last month that more than 5 per cent of Temasek’s global portfolio of 297 billion dollars has witnessed an underlying exposure to India in the past six years.
This goes in sync with the yearly investment of 1 billion dollar, which Temasek has been executing for past six years, which aggressively augmented its underlying exposure to a worth of 16 billion dollars to India.
India ranks among the second most jewelry consuming nation, only after China. Post Covid-19 pandemic, the demand for jewelry has been surging, making it a suitable time for such International deals.
While many Indian startups have been doing rounds of resource efficiency and delaying IPOs, the investment deal from Temasek comes around as a savior in disguise for the nation.
The soaring valuations of many startups in India is making it quite difficult for them to generate fresh funds by the investors.
Also, the first quarter 2023 simply saw a rise of 2 billion dollars by the startups as compared to the previous year, decreasing their net value by 75 per cent in the same quarter.
The months of July-September could witness the closing of the investment deal after the talks and transaction run out smoothly between Temasek and BlueStone.
Headquartered in Orchard Road, Singapore, Temasek Holdings came into being on 25 June’1974 as a global investment company. With sustainability as the core value, Temasek comes around as a generational investor.
Temasek managed and owned approximately 497 billion dollars Asset Under Management (AUM) by December 2022, and is still seen to expand its ecosystem across the globe.
The private equity firm as well as the budding jeweler share one thing in common, that is both provide their services to the common man with future in their mind.
Following the usual trends, but also maintaining the quality of their designs, BlueStone showcases gemstones, gold and diamond jewelries. It’s origin traces to Gaurav Singh Kushwaha, who is the Founder and CEO of BlueStone.Â
Started in 22 July’2011 in Bengaluru, it is India’s largest digital-first exceptional jewelry brand portraying an endless aisle of innovative and futuristic designs.
BlueStone received huge traction from its audience online after the launch of it’s mobile app, the BlueStone Jewelry Online in 2016.
The jeweler has set its liking among its customer base by organizing various affordable and accessible services including the ‘Try at Home’ amenity.
Proofread & Published By Naveenika Chauhan
