Backing of acquisition gives green light for completing in Q1.
Fabergé shareholders are said to have approved the takeover of the luxury jewellery and watch company after Gemfields’ proposed 100% acquisition was announced in November.
The acquisition had to win backing from the shareholders, something that was achieved at Fabergé’s general meeting on December 17th, where Fabergé shareholders approved the merger of Fabergé with Gemfields. According to reports there had been no dissenting shareholders.
Fabergé is owned by UK-based private equity firm Pallinghurst Resources, which also controls Gemfields together with its partners in investor group Rox Limited. Pallinghurst will own 49.5% of the combined group following admission of 214 million new shares by Gemfields, set to be allocated to Fabergé’s shareholders in proportion to their holdings in the company.
The proposed acquisition values Fabergé at approximately US$142 million (£89 million). Ian Harebottle, Gemfields chief executive, said at the time of the proposed acquisition announcement: “Gemfields has firmly established itself as “the Coloured Gemstone Mining Company” and the proposed acquisition of Fabergé further enhances our potential to be recognised as the leading coloured gemstone company.
“It provides exposure to the two most profitable segments in the gemstones value chain, namely mining and consumer sales. Fabergé is a globally recognised brand with a unique heritage, a history of excellence and a commitment to coloured gemstone products, sales and marketing, all of which is perfectly demonstrated by the magnificent Romanov necklace crafted from 2,225 emeralds and diamonds and unveiled earlier this year.”