GRT Jewellers to buy out TBZ promoters for ₹1,034cr

Kolkata: GRT Jewellers India has signed an agreement to acquire a 74.12% stake in listed jewellery retailer Tribhovandas Bhimji Zaveri (TBZ) for up to ₹1,033.71 crore from its promoters.

GRT will acquire 49.46 million shares, representing the promoters' entire stake in the company, at up to ₹209 a piece, subject to regulatory approvals and other conditions, the two companies said on Monday.

The final acquisition price may be revised downwards following an audit but cannot be increased. The Chennai-headquartered jeweller will also launch a mandatory open offer for the remaining 26% stake in line with markets regulator Sebi's norms.


Shares of TBZ closed at ₹305.45 on the BSE on Monday, up 1.19% from the previous close.

Founded in 1864 with a store in Mumbai's Zaveri Bazaar, TBZ operates 37 outlets across the country under the brand TBZ The Original.

"The acquisition very well fits into our strategy of spreading our presence across India," GRT managing director GR Ananth Ananthapadmanabhan said.

Established in 1964, GRT has 68 stores in India and one in Singapore. The acquisition of TBZ will expand its retail network to 106 stores.

On completion of the deal, GRT will take sole control of TBZ.

TBZ CMD Shrikant Zaveri, along with directors Binaisha Zaveri and Raashi Zaveri, will resign from the board, the companies said. Some existing promoters may enter into employment or consultancy arrangements with TBZ to support the transition.