Gitanjali to start channel finance

In an attempt to grow organized jewellery retailing in the country, the Rs 2,500 crore Gitanjali Gems would soon introduce channel finance for its existing business partners.

The company is talking to nationalised banks as well as private players to help its channel partners get financial help to reach bigger markets.

"This would open new vistas to trade and banking. We project increased growth of organized jewellery retail through this channel finance arrangement," said Manjunath Jyothinagar, group president - jewellery business, Gitanjali group of companies.

The company is also consolidating its operations at the backend and has made stronger foray in the multi brand format store for all its brands, namely D'Damas, Asmi, Nakshatra, Sangini, Gili, Desire .

"By March-end, we will have 15 multi brand stores across the country with investment ranging from Rs 2.5 crore to Rs 5 crore per store. We plan to set up 72 stores across Tier I and II cities in the country by March 2008. We are also tying up for space in the prominent locations inside the malls and in high streets for augmenting our plans," said Jyothinagar.

The company would continue to grow its business both organically and inorganically.

"The future acquisitions or collaborations would help forward integration as our strategy is to emerge as a global brand," said Jyothinagar.