Indian conglomerate Aditya Birla Group is set to foray into the branded retail jewellery retail business with an investment of 5000 crore rupees (about US$605 million), unveiling a new venture dubbed ‘Novel Jewels’.
The jewellery business will open large-format retail stores across the country, which will be home to in-house jewellery brands.
“This foray is a strategic portfolio choice that allows us to tap into new growth engines and expand our presence in the vibrant Indian consumer landscape,” said Kumar Mangalam Birla, chairman of Aditya Birla Group.
“With rising disposable income, discerning and aspirational consumers are leaning more towards design-led, bespoke, and high-quality jewellery. This venture will capitalise on Aditya Birla Group’s deep expertise in lifestyle retail and nuanced understanding of consumer preferences.”
The move is part of the group’s effort to capture bigger shares in the $77 billion market. Aditya Birla Group said the Indian jewellery market, which accounts for 7 per cent of the country’s GDP, was projected to reach $90 billion by 2025.
Last month, the group’s fashion business, Aditya Birla Fashion and Retail Limited, acquired a 51 per cent stake in TCNS Clothing, which owns ethnic brands W, Aurelia, Wishful, Folksong, and Elleven, for $202 million. The deal marked one of the country’s largest acquisitions in the Indian fashion industry.
