Dubai-based jewellery major Damas Jewellery LLC has entered into a joint venture company with Indian arm of Flemingo International to set up duty-free shops at airports for selling jewellery products and luxury watches.
The new company will be called Flemingo Jewellery India Pvt Ltd with Damas holding 51 percent equity stake and the rest with Flemingo, in the JV.
Damas is seeking approval from Foreign Investment Promotion Board (FIPB) to set up a JV firm, sources said.
Flemingo will be looking after day-to-day management whereas Damas will depute its personnel and specify other requirement to run business.
Contract from state-owned Airports Authority of India has already been won by this company to set shops at Chennai, Trivandrum and Jaipur airports with shops allowed to use brand name Damas.
Operations at these airports are expected to begin within a month.
Damas will be selling its gold jewellery brands like harmony and legacy and its diamond brands at major airports.
DAMAS LLC
Dubai-based Damas LLC, established in 1993, is engaged in business of gold jewellery, diamonds and watches. Damas has operations in six countries, 127 retail locations and it has one manufacturing and selling division. It also jointly controls companies in India, Dubai, Kuwait, Maldives and UAE. Its annual revenue in 2005 was more than Rs3,200 crore.
Damas operates in India through D'damasIndia which functions in partnership with diamond house Gitanjali Digico Group.
FLEMINGO INTERNATIONAL
Flemingo Duty Free Shop, in which Flemingo International has 51.22 percent equity stake, has been running duty-free shops at various airports and seaports. Recently, Citicorp Venture Capital International has agreed to pick up 15% stake valued at more than Rs100 crore in Flemingo.
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