Plans have surfaced at Gitanjali Gems Ltd. to buy out American retail chain Whitehall Jewellers Holdings, as reported by the Economic Times. This is part of its strategy of mergers and acquisitions, tio expand its base in the US retail market. Although, Whitehall had recently undergone a spate of financial difficulties, subsequent to which it filed for bankruptcy, Gitanjali is looking at purchasing it for Rs.350 crore to Rs.400 crore ($81 million to $92.5 million).
Some Indian-owned firms including Sangam Diamond Corp. and Kiran Jewels Inc. have recorded bad debts with Whitehall to the tune of $11.32 million and $9.41 million, respectively.
Gitanjali had previously purchased two US jewellery retail chains- Rogers Jewellers for $20 million and Samuels Jewellers for $25.4 million.