The Aditya Birla Group has announced an investment of roughly Rs 5000 crore in the branded jewellery retail industry. After paints and B2B e-commerce for construction supplies, this is the group’s third big push into a new business in the past two years.
According to the corporation, this operation would be housed under a new venture, ‘Novel Jewels Ltd,’ which will establish large-format jewels retail outlets throughout India with 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. With rising disposable income, discerning and aspirational consumers are leaning more towards design-led, bespoke, and high-quality jewellery,” said Kumar Mangalam Birla, Chairman, of Aditya Birla Group.
In November 2022, ET claimed that the conglomerate was launching a brand-new distinct business venture for branded jewels to compete directly with Tata Group’s Tanishq.
Grasim Industries, Hindalco, Aditya Birla Fashion and Retail, and Aditya Birla Capital are among the flagship enterprises of the $60 billion conglomerate. It employs around 140,000 people as a group.
Aditya Birla Ventures, the Group’s venture capital arm, co-led a fundraise in silver jewellery-focused firm GIVA in June, raising Series B financing.
“We believe silver jewellery, in particular, is ripe for significant growth across both online as well as offline channels,” Aryaman Vikram Birla, founder of Aditya Birla Ventures, had said at the time of announcing the venture.
Aditya Birla Ventures, the Group’s venture capital arm, co-led a fundraise in silver jewellery-focused firm GIVA in June, raising Series B financing.
ABFRL’s fashion brands and retail formats generated 8,136 crores in sales as of March 31, 2022, over a network of 3,487 shops and 30,000 multi-brand outlets. In his speech to the company’s AGM, Birla said that the company’s expected revenue of 21,000 crores for 2026 will exceed that aim and set even higher benchmarks for the firm moving ahead.
