Mumbai: The Rs 3,500 crore Gitanjali group, the biggest manufacturer and retailer of diamond and jewellery in the country, today announced acquisition of a brand Lucera for Rs 25 crore.

Lucera silver jewellery is currently sold through about 40 odd retail outlets and had sales of about Rs 10 crore.

The company said it plans to broaden the Lucera brand portfolio and position it as a jewellery and lifestyle brand worldwide. It expects sales of about Rs 60 crore over the next one year.

Gitanjali acquired the Lucera brand from Renaissance Jewellery, which has decided to make exit from the retail business and concentrate on export market.

Company officials said the amount paid for the acquisition of the brand include the payment of brand nurturing, brand purchase and 100 per cent stake in Renaissance Retail Ventures.

Earlier in the day, the company also announced making a foray into business of providing gold loans and safe deposit valuts. Besides, it also announced acquiring Trinity Watch, a company which is engaged in selling premium quality watches.

Gitanjali Lifestyles President Sadanand Pawar said there are over 53,000 families in the country with a family income of more than Rs 1 crore per annum and thus potential customers of luxury products.

This number is expected to go up to 1,40,000 by 2010. He said the luxury jewellery market is worth about Rs 1,800 crore per annum, Pawar said.

Gitanjali Lifestyle, the luxury and retail arm of Gitanjali group, would focus on retailing branded lifestyle products with an initial investment of Rs 150 crore.

The company, which has a plethora of brands in its portfolio and in the process of acquiring a few more brands, wants to project its stores as a prime destination for individuals having high fashion quotient.

Besides jewellery, the company would also be selling other lifestyle premium products like watches, silverware, perfumes and cosmetics, leather and accessories, Pawar said.

The company is planning to open 200 lifestyle stores in metros and mini metros and has already finalised opening two malls in Hyderabad and Kolkata.

Source : PTI