Classic Diamonds to tie up with UAE retail chain


Coming in from sources, Classic Diamonds is going to tie up with UAE-based retail chain store. Classic Diamonds will set up 4 stores in UAE by FY09.

According to sources, Classic Diamonds will market products via 6 retail outlets there.
The tie up will supposedly add Rs 80 crore to the topline of the company in FY08.

While, the margins are seen at 25-30%. Classic Diamonds current jewellery business accounts for about 25% of revenues. After the tie up, the jewellery business will contribute 40% of revenues.

Classic Diamonds already has presence in Hong Kong, Thailand, China, Singapore and Saudi Arabia. The management, though, has declined to comment on this development.