Titan Co Ltd, has acquired majority stake in Chennai-based online jewellery store Carat Lane Trading Pvt Ltd for an undisclosed amount, subject to due diligence. The transaction is expected to close by the middle of June, Titan said in a BSE regulatory filing.
Titan will acquire over 51 per cent stake in the company and post the acquisition CaratLane will become a subsidiary of Titan Company.
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The acquisition marks the exit for Tiger Global, which has invested several rounds of funding into Caratlane, from the company.
One of the most active venture investors in the country till last year, Tiger Global had pumped in over US$50 million in Caratlane in tranches, according to VCCEdge, the data research platform of VCCircle.
Formed in 2008, Caratlane deals in gold, silver and diamond jewellery, selling it online. It was founded by Srinivasa Gopalan, an IT entrepreneur who was the founder and CEO of Lister Technologies, and Mithun Sacheti, scion of Jaipur Gems, which has stores in Mumbai, Chennai and Coimbatore.
Over the years, the two have worked relentlessly to seamlessly integrate Omnichannel capabilities and have successfully added 13 physical stores across India in addition to their robust online business. The company has plans to ramp up the retail stores significantly in the future.
Caratlane currently has stores in Bengaluru, Delhi/NCR, Hyderabad, Coimbatore, Chandigarh, Chennai, Thane and Pune, according to the company website.
Apart from an Omnichannel initiative, the company has also kept up with new technology. On August 20, 2015 CaratLane launched an app that uses facial recognition and 3D imaging technology to allow customers virtually try on the earrings available on their site.This app can be downloaded on to any smart device.