Gitanjali Gems Ltd, jewellery manufacturer and retailer has entered into a memorandum of understanding (MoU) with the state-run Minerals and Metals Trading Corp (MMTC), a leading bullion importer. The MOU was signed with the intention of furthering it to a joint venture. "We are very proud to be associated with MMTC. The MOU will be a step towards the Gitanjali Groups endeavour to expand their retail footprint and market share. We hope this association with MMTC is mutually profitable, and strengthens the Gitanjali Group's foothold in India," said Chairman of Gitanjali Group, Mehul Choksi.
Investments by Gitanjali Gems in the joint venture for the first phase are Rs60cr, the company said. The primary objective of the proposed joint venture Company would be to carry on the business of establishing, acquiring, developing, managing and maintaining jewellery showrooms in India and carrying out such other activities as may be incidental or ancillary thereto in furtherance of the business of the company.
While Gitanjali Gems Limited, a DTC sightholder, is one of the largest integrated diamond and jewellery manufacturers and retailers in India, MMTC is the largest single exporter of minerals from India. MMTC is one of the country’s premier bullion traders, handling more than 100 metric tons of gold and 500 metric tons of silver annually.