Editor’s Note
This article outlines Senco Gold’s strategic acquisition of a majority stake in the Melorra brand’s parent company. The move is positioned to bolster Senco’s digital and omnichannel presence, particularly among younger consumers.
Senco Gold Limited has approved a ₹68 crore investment to acquire a 68% equity stake in August Jewellery Private Limited, owner of the Melorra brand. The cash consideration transaction will make AJPL a subsidiary and is expected to complete by April 30, 2026. AJPL operates 21 stores across India, specializing in fast fashion lightweight jewellery with reported turnover of ₹3,324.87 lakhs for 2024-25. This strategic acquisition strengthens Senco Gold’s digital and omnichannel strategy targeting young consumers.
The acquisition represents a cash consideration transaction that will make AJPL a subsidiary of Senco Gold Limited. The investment involves acquiring 68% of AJPL’s equity share capital through a primary investment where fresh equity shares will be issued.
AJPL was incorporated on January 16, 2015, under the Companies Act 2013, with its registered office in Bangalore, Karnataka. The company operates under the Melorra brand, specializing in fast fashion lightweight jewellery that creates trend-forward designs inspired by global runways.
AJPL operates 21 stores across India and focuses on manufacturing, producing, designing, marketing, and selling various kinds of gold, silver, precious stones, semi-precious stones, and jewellery items. The brand uses advanced technology to continuously develop and launch fresh designs every week, catering to contemporary consumer preferences.
The company’s turnover data reveals significant fluctuations over the past three years:
The proposed investment aligns with Senco Gold Limited’s long-term growth strategy and digital transformation initiatives. The acquisition is designed to reinforce the company’s digital and omnichannel strategy, specifically targeting the fast-growing young consumer segment in the jewellery market.
AJPL’s robust design capabilities and e-commerce expertise complement Senco Gold’s core competencies in traditional jewellery retail. The integration is expected to create significant synergies across multiple areas:
Senco Gold Limited will execute comprehensive documentation to formalize the acquisition, including a Share Subscription Agreement (SSA), Shareholders’ Agreement (SHA), and other related documents as required during the transaction process.
The proposed acquisition does not fall within related party transactions. None of the promoter, promoter group, or group companies of Senco Gold Limited have any interest in AJPL, except as creditors. The funds from this primary investment will be utilized for growth and expansion initiatives, as well as discharge of existing liabilities.
This strategic move positions Senco Gold Limited to capitalize on the growing demand for contemporary, lightweight jewellery while expanding its digital footprint in the competitive gems and jewellery industry.
