Titan Eyes Large Stake In Damas: What Dubai-Based Jeweller Offers?

In a bid to significantly boost its presence in the Gulf nations, Tata Group-owned Titan Company is looking to acquire a stake in a leading local jeweller. 

According to a report by The Economic Times (ET), Tanishq's owner is in talks with Qatar-based Mannai Corporation to acquire a stake in Damas Jewellery. The discussion revolves around the valuation of the West Asian jeweller, which is estimated at around Rs 4,500 crore. 

This is reportedly the second time Titan and Damas have been in negotiations. The last deal talks fell through due to differences over Damas' valuation. 

In 2014, the two companies signed an agreement to sell Tanishq's jewellery in Damas stores across the Gulf countries. 

The ET report said that Mannai Corp has been looking for investors for Damas Jewellery for the past two years. The corporation acquired the Dubai-based jeweller in 2012. Today, Damas has a network of 251 stores and offers brands like Graff, Fope, Roberto Coin, Marco Bicego, Mikimoto, Forevermark, Magerit, Parmigiani, Perrelet, Louis Moinet, and Ernest Borel. 

Titan's Gulf Expansion Plan

Titan Company has been expanding aggressively in West Asia, with new Tanishq and Titan Eye+ stores opening in Dubai during the October-December quarter. The brand also operates in Doha, Sharjah, and Abu Dhabi, catering primarily to the Indian diaspora. 

According to Titan Company's third-quarter results, its flagship brand Tanishq has 16 stores globally, including in Singapore and Chicago, US. 

In an interview with Fortune India, Titan's Managing Director C.K. Venkataraman said that the company plans to build a half-a-billion-dollar international business by FY27-28. 

In the third quarter, Titan reported a slight decline of 0.6% in its consolidated net profit, totaling Rs 1,047 crore. However, the company's total income saw a 25% year-on-year increase, reaching Rs 17,723 crore.  During the quarter, the firm's international jewellery business recorded a 64% growth in income, reaching Rs 569 crore, driven by strong performance in North America and new store expansions.