Indian gold jewellery major Rajesh Exports Ltd. has announced the takeover of the world’s largest integrated precious metals refiner Valcambi, for USD 400 million. REL, through its fully owned subsidiary in Singapore, completely acquired European Gold Refineries, the 100 per cent holding company of Valcambi in an all-cash deal.
Valcambi has a capacity to refine 1,600 tonnes of gold or altogether 2,000 tonnes of precious metals per annum. A statement from REL said Valcambi generated revenues in excess of USD 38 billion and operating profit of USD 33 million by refining and selling 945 tonnes of gold and 325 tonnes of silver on average per year for the past three years.
“More than the price of sale, my aim was to deliver the company to a buyer, who would maintain its world-class standard and stature,” Emilio Camponovo, founder and current major shareholder of Valcambi, said in a statement. The company was fully owned by Credit Suisse, which divested it in December 2003 to U.S. based Newmont and several Swiss investors.
“This is a historic moment for REL and for the global gold business,’’ Rajesh Mehta, Chairman, REL, said in a statement. “The coming together of REL and Valcambi would expand the global gold business and prove very productive for the future global plans of REL group. The acquisition is also of national importance for India, as India is the largest consumer of gold in the world.”
