Jeweller Rajesh Exports' board today approved acquisition deals worth around USD 250-500 million in Europe, as part of plans to strengthen the domestic and global presence of the company in gold business.
"Board of Directors of the company at its meeting held on July 2, 2015, have approved to make acquisition/s in Europe in the range of USD 250 to USD 500 million," the company said in a filing on the Bombay Stock Exchange (BSE).
Media reports had earlier cited that the company may acquire Swiss-based Valcambi. However, Rajesh Exports did not mention about the company it plans to acquire in Europe in the regulatory filing.
"The acquisition has been approved to strengthen the backward integration of the company and to strengthen the domestic and global presence of the company in gold business.
"The Board of Directors have further authorised Rajesh Mehta, chairman of the company, to take all the necessary steps to complete the acquisition," it said.
Valcambi has a capacity to refine about 2,000 tonnes of gold, silver and platinum per year. The company, located at Balerna in south-eastern Switzerland, is majority-owned by US gold producer Newmont Mining Corp.
Rajesh Exports' scrip closed at Rs 369.10, up 4.29 per cent, on the BSE.
