KOCHI: US private equity firm Warburg Pincus has invested an additional Rs 500 crore in Kerala-based Kalyan Jewellers, taking the total investment to Rs 1,700 crore in the company. In 2014, it had invested Rs 1,200 crore in Kalyan Jewellers marking the highest investment in the jewellery sector in the country. With the latest investment, Kalyan Jewellers eyes a network of over 200 showrooms in the next three years.
“The company plans to nearly double its presence to 200-plus showrooms using a combination of equity, debt and internal accruals. We will continue with our strategy to innovate and expand our product portfolio to fulfill local customer preferences across regions. Kalyan is also working on a blueprint for a foray into the e-commerce segment, which will complement our physical retail network,” said T S Kalyanaraman, chairman and managing director, Kalyan Jewellers.
In the next three years,Kalyan Jewellers will build its presence in the central region of the country including Uttar Pradesh and Madhya Pradesh and add new showrooms in Mumbai, Delhi and the southern region. It is also looking to enter new markets such as Saudi Arabia, Bahrain, Oman, Singapore and Malaysia.
“We see a tremendous opportunity for Kalyan Jewellers to build a strong branded design-led jewellery business. Warburg Pincus’ additional investment will be used to accelerate the company’s growth efforts in network expansion and pursuing acquisition opportunities,” said Vishal Mahadevia, managing director, Warburg Pincus India.Started with the first jewellery showroom in 1993, Kalyan Jewellers now has 106 showrooms in India and West Asia.