Stake Sell: Big news of the sale of shares of this company came last night, will the impact be seen on the stock today?:Stake Sell: August Jewellery Private Limited was incorporated on January 16, 2015.

News Topical, Digital Desk : Stake Sale News: Jewelry retail chain Senco Gold Ltd. announced a major stake purchase on Wednesday (January 21). The company stated in an exchange filing that its board of directors has approved the acquisition of a 68% stake in August Jewellery Private Ltd. (AJPL), which operates the fast-fashion jewelry brand Melorra. A total cash consideration of ₹68 crore will be paid for the acquisition.

The transaction will be conducted through a Share Subscription Agreement (SSA), Shareholders' Agreement (SHA), and other related documents. According to the company, the transaction is expected to close by April 30, 2026.

What does the company do?
August Jewellery Private Limited was incorporated on January 16, 2015. The company is engaged in the manufacturing, designing, marketing, and sale of gold, silver, precious, and semi-precious jewellery. Under the Melorra brand, the company offers lightweight fashion jewellery. AJPL has 21 stores across India and focuses on trend-driven designs inspired by global fashion runways, with new designs introduced weekly.

What will the deal bring? Senco Gold says this investment will strengthen its digital and omni-channel strategy, especially targeting young consumers. AJPL's design and e-commerce capabilities, combined with Senco Gold's core expertise, will help expand operational capacity, improve customer experience, and accelerate innovation. The company clarified that this acquisition does not constitute a related-party transaction. Senco Gold's promoters or group companies do not have any stake in AJPL, except as creditors. The proceeds from the investment will be used for business expansion, growth, and payment of existing liabilities.

How was the business performance? In terms of financial performance, AJPL's turnover was ₹60,547.18 lakh in FY23, ₹17,362.71 lakh in FY24, and ₹3,324.87 lakh in FY25. Upon completion of the acquisition, August Jewellery Private Limited will become a subsidiary of Senco Gold Limited. This transaction does not require any government or regulatory approval.