L’azurde Company for Jewelry, the largest gold and diamonds jewelry designer, manufacturer, wholesale and retail distributor in the Middle East, announced that it has signed the share purchase agreement to acquire 100 percent of the equity of Izdiad Commercial Company of Arabia, the Saudi franchise of the Tous international jewelry brand.
This represents a major development for the company, establishing a strong presence in the affordable luxury jewelry segment and adding a new source of growth and profitability. Izdiad has demonstrated continuous solid growth in revenues and profits since its establishment, with its 2017 net income reaching SR18.8 million ($5.01 million).
With a track record of almost 100 years, Tous is an international lifestyle brand with more than 620 stores in 53 countries. As a franchisor, Tous designs, manufactures and sells a wide range of products including fine jewelry with diamonds, gold and silver, its core business, and handbags, fragrances, watches, glasses and accessories for men, women, and children. Tous has been present in the Saudi market since 2008 with a network today of 22 stores across the Kingdom.
Commenting on the acquisition, Mohammed Al-Shroogi, chairman of L’azurde, said: “We are very excited to have closed such a successful deal. The acquisition of the Tous franchise will allow L’azurde to complement its brand portfolio in key categories, in particular the accessible jewelry lifestyle segment, which provides solid margins and profits.”
Sélim Chidiac, CEO of L’azurde, said: “We are extremely proud to partner with Tous, a world leader in affordable jewelry, and we see a significant potential to grow Tous in Saudi Arabia and the region. This transaction represents a great strategic fit with our vision to enter the affordable jewelry segment and diversify our portfolio into a very new product offering.”
Carlos Soler-Duffo, commercial managing director at Tous, said: “We are incredibly excited by the considerable opportunities this partnership holds for us and look forward to growing in the Kingdom and expanding our footprint in the Middle East. Our business has grown well with a strong leading position in Saudi Arabia, and we are confident that L’azurde’s experience, management team and corporate profile will help us grow Tous to its full potential in the Kingdom.”
