Money will be used for new equipment to answer higher demand.
French jewellery brand Baccarat has announced plans to invest €8.6 million (£6.8m) into its manufactory, based in the town of Baccarat, in the Lorraine region of Eastern France.
The Baccarat board of directors agreed to the investment in late September. The company said it is the “largest financial commitment the company has seen in years”, and the first concrete strategic move since Catterton Partners became a Baccarat shareholder, following the capital increase in June 2012.
The money will be put into a new furnace and related equipment, set to be up and running by Spring 2013, in order to better answer Baccarat’s higher demand and expansion plans.
The brand also said it intends to make further investments in the coming years to ensure the highest standards of quality, new product developments and international expansion.
Markus Lampe, chief executive of Baccarat, said: “We are very proud of our iconic brand and aim to continue developing its unique French heritage and craftsmanship.
“The board’s decision enables us to reaffirm our commitment to the company’s original manufacturing location, at Baccarat, and allows us to increase our production capacities, enhance our capabilities further and enable our international expansion.”