Following Series of Acquisitions, Quality Gold To Go Public
The jewelry wholesaler and distributor plans to enter the public market through a merger with Tastemaker Acquisition Corp., a SPAC.
Based in the Cincinnati suburb of Fairfield, Ohio, Quality Gold is a jewelry wholesale and distribution company founded in 1979 by David Langhammer and currently run by his sons, CEO Michael Langhammer and Chief Operating Officer Jason Langhammer.
The company has more than 15,000 retail customers, a mix of independents, regional chains, department stores, and e-commerce platforms. It supplies them with finished jewelry, watches (including pre-owned Rolex and Cartier) and natural and lab-grown diamonds.
Quality Gold said it had a record year in fiscal 2022 (ended March 31), with revenue totaling $534 million and adjusted EBITDA of $82 million.
It also has acquired and integrated a dozen companies since 2012—most recently IBGoodman Manufacturing Co. in June—and said the merger will enable it to continue with targeted M&As.
“We are excited to take this major step forward in becoming a publicly traded company,” said Jason Langhammer.
“We have built a business that is well diversified across products, suppliers and customers, has proven to be incredibly stable, and is poised for strong future growth. Our decision to go public is intended to supercharge Quality’s Gold’s growth as the premier jewelry logistics and distribution provider.”
Tastemaker Acquisition Corp. is a special purpose acquisition company (SPAC) led by co-CEOs Dave Pace and Andy Pforzheimer. Also known as a “blank check company,” SPACs do not have any commercial operations but exist solely to raise capital through an initial public offering or by merging or acquiring an existing company.
(Another jewelry player, Blue Nile, also planned to go public through a SPAC but it never happened; the retailer was later acquired by Signet.)
The deal values the combined companies at $989 million.
Upon closing, Quality Gold Inc. will become Quality Gold Holdings Inc. and will trade on the Nasdaq stock exchange under the ticker symbol “QGLD.”
The Langhammer brothers and their current senior management team will continue to run the company, and existing Quality Gold equity holders will retain approximately 94 percent of the new company’s pro forma equity.
The boards of directors of both Quality Gold and Tastemaker have unanimously approved the transaction.
It is subject to other customary closing conditions, including certain regulatory approvals, and is expected to close in the first quarter of 2023.
The gemstone mining company’s “Celebration Sapphires” collection has launched in India.
The auction house sold all 11 “MoonSwatch Moonshine Gold” suitcases, donating the proceeds to eye care nonprofit Orbis International.
Distinguishing natural diamonds from laboratory-grown stones – now more available than ever – has been difficult for jewelers. Until now.
Matteo Farsura, former exhibition manager of Vicenzaoro, will oversee the Italian Exhibition Group’s various jewelry and fashion shows.
The upcoming show will have an immersive “47th Street Experience” for attendees.
The WaxJet 400, recognized as the world's fastest wax printer, is bringing in a new era of precision and efficiency to industry.
Ukrainian jewelry designer Valeriya Guzema’s charitable “Freedom” collection is inspired by hope for the country’s future.
Set to be held in Venice, it’s a look through the maison’s history.
Sebastian Clarke and Katherine van Dell, frequent appraisers on “Antiques Roadshow,” will join the new office.
Sherry Smith dishes on the month’s highs and lows and the two categories consumers were loving ahead of Valentine’s Day.
Gorman was an industry trailblazer, serving as the first female treasurer of Jewelers of America.
The movement of the 18-karat gold and diamond “Tennessee Torque” necklace is subtle.
Industry veteran Gina D’Onofrio has rejoined the auction house.