Kalyan Jewellers keep an open mind on future IPO

DUBAI: Kalyan Jewellers, in the midst of a major retail expansion in the Gulf, is keeping an open mind on a future initial public offering, according to its chairman.

Last month, the Indian arm of the US private equity major Warburg Pincus confirmed a $700 million investment in Kalyan.

“It’s a minority stake they have been sold and the funds will be utilised for network expansion in the Gulf and within India,” said T.S. Kalyanaraman. “We could have utilised our own funds — we have revenues of Rs100 billion — or sought an IPO to do it. But having the Warburg Pincus alliance gives us access to a certain expertise that will be needed for our future plans.

“Our goal is to be a pan-Indian jewellery brand and not associated with just one territory, southern India. We will simultaneously develop a pan-Gulf presence. For the Gulf operations too, we want to be seen as a pan-Indian retailer by shoppers here. That’s the ideal position for us to be in aiming for a regional turnover of Dh2 billion in the near term.”