Grading

IGI Set to Go Public Next Week

GradingDec 11, 2024

IGI Set to Go Public Next Week

In a CNBC interview, CEO Tehmasp Printer discussed the IPO in India and what declining lab-grown diamond prices mean for the company.

Grader looking into microscope at IGI lab
The International Gemological Institute is set to begin trading in India on Dec. 20, looking to raise nearly $500 million through an initial public offering.
New York—The International Gemological Institute is one step closer to becoming a public company.

The company filed for an initial public offering (IPO) in India on Aug. 22 and is now looking to raise 42.25 billion rupees ($497 million), an increase from its initial goal of 40 billion rupees ($477 million).

IGI is expected to begin trading on Dec. 20, with IPO bids open from Dec. 13 through Dec. 17, according to a red herring prospectus filed Dec. 6.

The price ranges from 397 to 417 rupees per share with a lot size of 35 shares.

The stock would be listed on the National Stock Exchange of India and the Bombay Stock Exchange.

Private equity giant Blackstone acquired IGI in May 2023 from a subsidiary of Chinese conglomerate Fosun and former CEO Roland Lorie, paying nearly $570 million for the lab.

Blackstone had been seeking a valuation of $1.5 billion, per a Reuters report, but was in talks to take the lab as high as $3.5 billion.

This proposed IPO values IGI at around $2.1 billion.

In an interview with CNBC, IGI CEO Tehmasp Printer shared more details about the upcoming IPO.

Following the IPO, Blackstone would go from holding a 100 percent stake in the lab to having a 76 percent stake, he said.

“We are very happy to have Blackstone support us,” he said. “I believe Blackstone is committed for the next 10 years, which could also possibly be extended.”

The net proceeds from the IPO will be used for general corporate purposes and to acquire the remaining outstanding shares of IGI Belgium Group and IGI Netherlands Group from Blackstone.

“Today, we are in consolidation mode. We have taken the lead on lab-grown diamonds and we want to make IGI a global entity,” said Printer.

 Related stories will be right here … 

In the prospectus, IGI highlighted its position as the second-largest independent grading and accreditation services provider in the world, after the Gemological Institute of America, for loose stones and jewelry.

Founded by the Lorie family in Antwerp in 1975, IGI now operates 31 laboratories and 18 education facilities in diamond and jewelry centers around the world.

IGI’s share of the overall grading report market is around 33 percent, said Printer, including 20 percent natural and 13 percent lab-grown diamonds.

In India, IGI is the largest provider of these services, holding 50 percent market share, said the prospectus.

The rise in popularity of lab-grown diamonds has been partly behind its success, though its practices regarding the stones have raised some eyebrows in the industry.

As first reported by JCKOnline.com, IGI disclosed in its draft prospectus filed in August that a lot of its lab-grown diamond grading is done in the factories of the companies growing the diamonds. 

IGI gemologists, as well as employees of the diamond companies, do the grading and the diamond companies supply the equipment, a setup that, IGI acknowledged, comes with risks. 

“As certification via our in-factory and mobile laboratory setups are conducted on the premises of our customers, we may also have less oversight over third parties who have access to our customers’ premises,” the lab said in its August prospectus.  

“While we conduct quality checks and periodic calibration of our gemologists to reassess and adjust their grading techniques, such measures may not be effective in preventing all instances of grading errors or fraud by gemologists or third parties.” 

Printer was not asked about this during the CNBC interview but did discuss the growth in consumer demand for lab-grown diamonds and their falling prices.

“Our growth rate has been immense where lab-growns are concerned,” he said on CNBC. “It’s the new-age diamond. It’s the new kid on the block and we are sitting on the top of it.”

The company also benefits from “economies of scale” when grading lab-grown diamonds, he said, meaning that as the company grades more lab-grown diamonds the cost to do so decreases.

Regarding the sustainability of this revenue growth, Printer said it is sustainable due in part to the affordability of lab-grown diamonds, which has contributed to the market size “increasing rapidly,” and caught the attention of millennials and Gen Z.

Though the market size may be increasing, the declining value of lab-grown diamonds has been a cause for concern in the industry.

The decline in prices should not hurt its margins, he said, adding that prices have been stable for the last nine months or so, now at $200 to $250 per carat wholesale.

“Lab-grown manufacturers and polishers have huge [capital expenditures] and [operational expenditures]. Today, the price has stabilized to a level where I don’t think they can go any lower. Then, it becomes unsustainable,” he said.

The Latest

Navneet montana sapphire
SourcingFeb 14, 2025
Navneet Gems Now Offering Unheated Montana Sapphires

The wholesale collection features material from the Rock Creek mine in a variety of colors.

Theresa Caputo &LIVY jewelry
CollectionsFeb 14, 2025
Carolyn Rafaelian Partners with ‘Long Island Medium’ Star

The “Divinely Guided” collection, created in collaboration with Theresa Caputo, features symbols that celebrate the power of connection.

Lorraine West Diamond Open Heart Ring
CollectionsFeb 14, 2025
Piece of the Week: Lorraine West’s Diamond ‘Open Heart’ Ring

Show some love on Valentine’s Day with this 14-karat yellow gold ring that features pavé diamonds.

Top Image.png
Brought to you by
3 Ways to Capitalize on America’s Newfound Love of Colored Gems

Colored stones are stepping into a jewelry spotlight typically reserved for diamonds—are you ready to sell color?

Surveillance image of Macy’s jewelry thief
CrimeFeb 13, 2025
Macy’s Employee Foils $1.5M Jewelry Theft

The employee confronted the thief, causing the suspect to flee and leave behind the suitcases full of jewelry.

Weekly QuizFeb 13, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Namdia rough diamonds
SourcingFeb 13, 2025
Namibian Diamond Co. Suspends CEO, COO After Deadly Heist

Namib Desert Diamonds also put its security manager on leave following last month’s robbery that left one employee dead.

Spectrum and Cutting Edge Buyer’s Choice awards
Events & AwardsFeb 13, 2025
AGTA Announces Buyer’s Choice Award Winners for Spectrum, Cutting Edge

AGTA recently concluded its 2025 GemFair event in Tucson and is already gearing up for next year’s show, set for Feb. 2-6, 2026.

Resolutions - 2025.jpg
Brought to you by
3 New Year’s Resolutions for Jewelry Lovers

The new year feels like a clean slate, inspiring reflection, hope, and the motivation to become better versions of ourselves.

Royal Chain models in 14-karat gold fashion links
CollectionsFeb 13, 2025
Royal Chain Releases Its Spring 2025 Catalog

More than 400 new pieces are featured in the supplier’s latest catalog.

Azra Mehdi pink sapphire ombré heart dog tag necklace in 14-karat rose gold
TrendsFeb 13, 2025
Amanda’s Style File: Hearts for Valentine’s Day

This curation celebrates love with heart-shaped jewelry of all shapes and sizes.

Jewelers Relief Fund logo
Policies & IssuesFeb 13, 2025
Jewelers Relief Fund Reopened to Aid Victims of LA Fires

The fund is collecting money for jewelry businesses damaged by the wildfires in Los Angeles County.

3 natural diamond engagement rings by Marrow Fine, Stephanie Gottlieb, Single Stone, and Sylvie Jewelry
TrendsFeb 12, 2025
5 Engagement Ring Trends Expected to Rule 2025

From chunky bands to vintage diamond cuts and bezel settings, these are the trends experts are seeing take over the bridal market.

Jean Prounis cushion-cut diamond engagement ring
EditorsFeb 12, 2025
Q&A: Marion Fasel on the History of Diamond Engagement Rings

Fasel discusses researching her new book, the most enduring engagement ring styles, and the diamond shape Taylor Swift will pick.

De Beers Jewellers Embrace Bracelet
CollectionsFeb 12, 2025
De Beers Jewellers’ New High Jewelry Pays Homage to the Beauty of Trees

The “Essence of Nature, Chapter One” collection echoes trees and roots, literally and figuratively, through three sets of high jewelry.

Shree Ramkrishna Exports (SRK) diamonds
SourcingFeb 12, 2025
SRK Announces Notable Reduction in Greenhouse Gas Emissions

Late last year, the India-based diamond manufacturer recorded emissions per carat that are 34 percent lower than the industry average.

Peter Smith
ColumnistsFeb 12, 2025
Peter Smith: 9 Store Manager Archetypes

Smith details the types of store managers he’s encountered, with the goal of helping retailers find a person who’s a fit for their store.

myGemma showroom
TechnologyFeb 12, 2025
MyGemma Now Offers Consignment Service

The secondhand reseller stocks pre-owned designer jewelry and watches, along with other luxury goods.

 Ghirardelli Chocolocket
CollectionsFeb 12, 2025
Ghirardelli Is Slipping Chocolate Into a Locket This Valentine's Day

The limited-edition “Chocolocket” fits a mini square of Ghirardelli chocolate inside.

Jewelers of America 20 Under 40 graphic
Events & AwardsFeb 11, 2025
JA Seeking Nominations for Its Next ‘20 Under 40’ Class

The program has been expanded to include a “20 Under 40” list for jewelry suppliers and is accepting nominations through Feb. 19.

Police cars with lights on
CrimeFeb 11, 2025
2 Men Charged With Selling Stolen Jewelry, Watches in NYC Diamond District

One of the men is said to be connected to the South American crew charged with burglarizing Cincinnati Bengals QB Joe Burrow’s home.

Bulgari x MB&F Serpenti watch
WatchesFeb 11, 2025
Bulgari, MB&F Launch Reimagined ‘Serpenti’ Watch

The brands immersed one of Bulgari’s most famous historical icons in MB&F’s ultra-mechanical universe of haute horlogerie.

Boucheron Power of Couture campaign
FinancialsFeb 11, 2025
Boucheron a Bright Spot as Kering’s Full-Year Sales Sink 12%

The luxury titan’s full-year performance was weighed down by struggling sales at its star brand Gucci.

Midas Chain Diamond and Gemstone Jewelry
MajorsFeb 11, 2025
Midas Chain Releases First Diamond Collection

The jewelry manufacturer has launched more than 100 pieces made with natural diamonds.

Tacori Stilla ring
SurveysFeb 10, 2025
Jewelry Resilient in 2024 Even As Luxury Sales Slipped, Says Bain & Co.

Bain & Co.’s latest report on the luxury market examines why the market’s customer base is shrinking and how to appeal to consumers in 2025.

Counterfeit Cartier “Juste Un Clou” bracelet
CrimeFeb 10, 2025
Counterfeit Jewelry Kept Kentucky Customs Agents Busy in January, CBP Says

Officers in Louisville seized 28 shipments of fake jewelry and watches that would have been worth more than $27 million if genuine.

Hearts On Fire Inside Out Collection Bracelets
CollectionsFeb 10, 2025
Hearts on Fire Flips Jewelry ‘Inside Out’ in New Collection

The collection centers on the art of tailoring, inspired by designs that feature folded fabrics, such as a tuxedo lapel.

JW Marriott Hotel in Nashville Tennessee
Events & AwardsFeb 10, 2025
Select Jewelry Show Heads to Nashville

The trade show has added a new location to its fall line-up.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy