Gitanjali Gems acquires Tri-Star Worldwide

With the Canadia brand well accepted overseas, the Tri-Star buyout fits Gitanjali's strategic interests.

Gitanjali Gems, a leading diamond exporter, has made another overseas acquisition, in a bid to strengthen its presence in foreign markets.

It has bought a majority stake in US-based Tri-Star Worldwide, a licensee of Canadmark, which enables it to be a manufacturer and global distributor of Canadia brand diamond jewellery. Gitanjali has not disclosed the takeover size. In December last year, it had also acquired US-based Samuels Jewellers.

Senior company management said the certificate of origin of diamonds has become increasingly relevant in several overseas markets. This is owing to the growing reluctance of consumers to purchase 'Blood Diamond' – diamonds that are sourced from war-torn African countries.

As the Canadia brand of diamond jewellery is well accepted in overseas markets, it fitted Gitanjali's strategic interests. Also, the Gitanjali management would be focused on deriving synergies in the North American market, between its earlier acquisition and Tri-Star.