Titan Buys 67% Damas Stake, Eyes Middle East Growth
July 22, 25
(IDEX Online) - Titan, India's largest jewelry retailer, is buying a two-thirds stake in Dubai-based luxury jeweler Damas in a deal that values the company at $283m.
The acquisition significantly expands Titan's presence in the Middle East, through Damas's 146 stores in UAE, Saudi Arabia, Qatar, Oman, Bahrain, and Kuwait and gives it access to a large Indian diaspora.
The deal gives Titan, which includes Tanishq, CaratLane, Mia, and Zoya, a 67 per cent holding, and an option to buy the remaining 33 per cent stake after 31 December 2029.
Mannai Corporation, a Qatar-based conglomerate, bought Damas in 2012 for $445m, through a consortium with Egyptian investment bank EFG Hermes.
It is selling its majority stake to refocus on its core businesses in trade, IT services, and to reduce group debt amid challenges to Damas's profitability.
Titan, part of the Tata Group, has had a presence in the UAE since opening seven Tanishq stores there in October 2020.
Damas was founded in Dubai as a goldsmith in 1907 and later diversified into wholesale gold trading and the import of diamond-cutting machinery. It opened its first store in 1959 at Dubai's Gold Souk.
The acquisition is expected to boost Titan's overall revenue by 8 per cent to 10 per cent by 2028, driven by planned 30 per cent expansion of Damas stores and a 15 per cent rise in average transaction values.