Titan strengthens ownership in CaratLane with acquisition of 27.18% stake, 98.28% total holding
In a move facilitated by a share purchase agreement on Saturday, the firm under the Tata group umbrella will acquire 91.90 lakh equity shares that are presently held by the founder of CaratLane Trading Pvt Ltd and their family members. T
Titan, a renowned fashion accessories brand, has announced acquisition of an additional 27.18% stake in , thereby boosting its overall ownership to an impressive 98.28%.
In a move facilitated by a share purchase agreement on Saturday, the firm under the Tata group umbrella will acquire 91.90 lakh equity shares that are presently held by the founder of CaratLane Trading Pvt Ltd and their family members. This transaction has been officially reported through regulatory filings.
"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," stated the regulatory filing.
Titan has revealed that it will be disbursing "Rs 4,621 crore" to secure the 27.18 percent equity shares of CaratLane, factoring in full dilution.
CaratLane Trading, an unlisted entity, has been operating notably in the jewelry sector, showcasing its prowess in both manufacturing and sales. Its fiscal year 2023 turnover stood at Rs 2,177 crore.
Titan expects the acquisition to be complete by October 31, 2023, subject to the timely receipt of requisite regulatory approvals from the Competition Commission of India (CCI).
"On acquisition of 27.18% of the shareholding of CaratLane, the company would hold an aggregate of 98.28 per cent of the equity share capital on a fully diluted basis and voting rights in CaratLane," it said.
Established in September 2007, CaratLane not only operates in India but also extends its presence to the United States through its subsidiary.
