Flawless Diamond to invest up to Rs 85 cr for biz expansion

Gems and jewellery manufacturer Flawless Diamond today said will expand its retail presence and would invest up to Rs 85 crore for expansion of business operations.     

In a bid to support retail planning the company would set up more manufacturing facilities and would open additional 75 outlets by 2010, Flawless Diamond said in a regulatory filing to the Bombay Stock Exchange.     

The board has approved the setting up of a subsidiary in Dubai to explore the opportunities in the Gulf, Europe and the USA, to expand its export business among others, which the company feels has the potential to become more profitable.     

For funding business expansion plans in the long run the company is planning to rope in institutional investors and venture capitalists.     

The present investment of Rs 75-85 crore would be met through internal accruals, the fling added.     

Further, the board has approved the appointment of Gopal Krishna Pillai as an additional director on the board of the company, with effect from August 11. Pillai would be an independent director on the board, the filing added.     

Shares of Flawless Diamond were trading at Rs 57.80, down by 0.26 per cent in the late afternoon trade on the BSE.