Gitanjali Gems- Updates on SEZ

With reference to Gitanjali's foray into Special Economic Zone developments and various approvals and consents received by the Company from Central / State Governments from time to time, Gitanjali Gems Ltd has informed that Company has incorporated following wholly owned subsidiaries (WOS) as special purpose vehicles (SPV) for the developmental activities of various SEZs, details of which are mentioned herein below:.

1. Name of the Company: Raigad Gems SEZ Ltd
Registered Office: 'Laxmi Tower', Office No. 6, B Wing, 1st Floor, Bandra Kurla Complex, Bandra (East), Mumbai - 400051.

2. Name of the Company: Aurangabad Gems SEZ Ltd
Registered Office: 'Laxmi Tower', Office No. 6, B Wing, 1st Floor, Bandra Kurla Complex, Bandra (East), Mumbai - 400051.

3. Name of the Company: Nanded Gems SEZ Ltd
Registered Office: 'Laxmi Tower', Office No. 6, B Wing, 1st Floor, Bandra Kurla Complex, Bandra (East), Mumbai - 400051.

4. Name of the Company: Nashik Multi Services SEZ Ltd
Registered Office: 'Laxmi Tower', Office No. 6, B Wing, 1st Floor, Bandra Kurla Complex, Bandra (East), Mumbai - 400051.

5. Name of the Company: Nagpur Multi-Product Gems SEZ Ltd
Registered Office: 'Laxmi Tower', Office No. 6, B Wing, 1st Floor, Bandra Kurla Complex, Bandra (East), Mumbai - 400051.

Gitanjali Gems JV Update

With reference to the earlier announcement regarding Joint Venture with ARMO Netherlands Finance B.V., Gitanjali Gems Ltd has informed that the Company has signed the Joint Venture Agreement with Netherlands based ARMO Netherlands Finance B.V. to form a Joint Venture Company 'Morellato India Pvt Ltd', by way of subscription to equal number of equity shares of the proposed Company. The effectiveness of this Joint Venture Agreement is subject to the fulfillment of certain conditions precedent.

Further the Company has informed that, the proposed joint venture Company will carry on the business of importing, wholesale, distribution and manufacture of watches, leather goods, writing instruments, jewellery and other products under the brand names Morellato, Miss Sixty, Just Cavalli, Molecole, John Galliano, Roberto Cavalli, Philip Watch, Pirelli, Pirelli Pzero, Sector, Moschino and such other brands as may be agreed between the Joint Venture Partners.

Gitanjali Gems entering into Joint Venture with ARMO Netherlands Finance B.V.

Gitanjali Gems Ltd has informed that the Company is entering into an Agreement with Netherlands based ARMO Netherlands Finance B.V. to form a Joint Venture Company by way of subscription to equal number of equity shares of Morellato India Pvt Ltd.

Further the Company has informed that, the proposed Joint Venture will carry on the business of importing, wholesale, distribution and manufacture of watches, leather goods, writing instruments, jewellery and other products under the brand names Morellato, Miss Sixty, just Cavalli, Molccole, John Galliano, Roberto Cavalli, Philip Watch, Pirelli, Pirelli Pzero, Sector, Moschino and such other brands as may be agreed between the Joint Venture Partners.

Gitanjali Gems acquires Rogers Ltd Inc

Gitanjali Gems Ltd has informed that the Company has acquired Rogers Ltd. Inc., a retail jewelry chain in United States.

The Company has acquired 100% stake in this specialty retailer, which operates 46 stores in US with current revenues equivalent to US$ 80 Million. Rogers Ltd. Inc. is headquartered in Middletown, Ohio and operates under brand names 'Rogers Jewelers' and 'Andrews Jewelers'.

As a privately held, family owned Company, Rogers Ltd., Inc. was originally founded in 1920 and since then it has grown front a one store operation to a Company with 46 stores. Rogers is a mall based jeweler appealing to a target customer of middle aspirations to middle upper income mass affluent consumers, who value quality and long standing relationships with trusted family jewelers.

The growth of this Company over the years comes from an unwavering commitment to high quality jewelry, trust, integrity and financial stability.

This acquisition by 'Gitanjali' in organized US jewellery market is a landmark step for the industry and a significant step towards moving up the industry value chain, which will offer a range of synergies to Gitanjali's existing operations. Gitanjali will not only have access to a large US consumer base, but leveraging Rogers' existing retail infrastructure will give Gitanjali a better control over the entire value chain in the jewelry business.

By way of this acquisition Gitanjali has taken one more step ahead in the direction of getting control over in the value chain, which will boost the Company's plans to expand its retail presence in India and overseas.

Gitanjali Gems JV with Modali Distributors

Gitanjali Gems Ltd has informed that the Company vide the Shareholders Agreement dated July 31, 2006 had formed a Joint Venture Company in the name of "Modali Distributors Pvt Ltd". The JV Company is engaged in the business of distributionship, primarily of jewellery and jewellery related products.

Further the Company informed that, the name of the joint Venture Company "Modali Distributors Pvt Ltd" has been changed to "Modali Gems Pvt Ltd".

Gitanjali Gems clarifies on acquisition

With reference to the news item appearing in a leading financial daily titled, "Gitanjali close to buying out US Co for $100m", Gitanjali Gems Ltd has clarified to BSE that the said news has not been released by the Company to Press.

As of Date the Company has not yet finalized any new acquisition in the US.

While it is true, and common knowledge, that the Company is actively seeking for retail acquisitions in the US and other countries abroad, it is still in the process of studying various Companies, their merits and demerits, etc and no deadline has been set for the acquisitions.

If and when such an acquisition comes through, the Company shall confirm the same to the exchange following the essential protocol.

Gitanjali Gems - Convertible Equity Warrants, Raising Capital

Gitanjali Gems Ltd has informed that the Board of Directors of the Company at its meeting held on October 06, 2007, has decided the following:

1. Issue of 10 million Convertible Equity Warrants on preferential basis to Promoters / Promoters Group.

2. Raising of additional capital through issuance of Global Depository Receipts.

Gitanjali Gems Limited

Gitanjali Gems Limited has informed the Exchange that: "The Company has received in-principle approval from Ministry of Commerce, Board of Approvals for establishing 1000 hectors SEZ at Nagpur for Multi Products and 50 hectors SEZ at Aurangabad for Gems & Jewellery".