Rajesh Exports gains on plan of opening 550 ‘SHUBH Jewellers’ showrooms

Rajesh Exports is currently trading at Rs 132.90, up by 0.65 points or 0.49% from its previous closing of Rs 132.15 on the BSE.

The scrip opened at Rs 132.35 and has touched a high and low of Rs 135.40 and Rs 130.50 respectively. So far 393715 shares were traded on the counter.

The BSE group 'B' stock of face value Re 1 has touched a 52 week high of Rs 151.00 on 31-Oct-2011 and a 52 week low of Rs 82.10 on 02-May-2011.

Last one week high and low of the scrip stood at Rs 143.90 and Rs 127.00 respectively. The current market cap of the company is Rs 3901.86 crore.

The promoters holding in the company stood at 50.51% while Institutions and Non-Institutions held 20.05% and 29.44% respectively.

Rajesh Exports (REL), the world’s largest manufacturer of gold jewellery, would be opening 550 retail stores of “SUBH Jewellers” across fourth states in India. The company, which generates revenues of around Rs 20,000 crore through exports as well as retail, expects to generate revenue of around Rs 20,000 crore alone from its retail joint venture by 2014-15.

The company, in addition of launching its stores in Andhra Pradesh, Tamil Nadu, Kerala and Goa, plans to launch a total of 125 stores in the state of Karnataka by April 2012, which would complete its retail presence in Karnataka.

After the launch of 550 stores in the South Indian states, REL would expand pan India into every state of India. For the first phase of 550 stores, REL has estimated a funding requirement of about Rs 6600 crore, which would be met from internal accruals, suppliers credit and debt.

Meanwhile, the age old concept of ‘Rate Per Gram’ has lost all it's meaning as the jewellery ultimately is not delivered at that rate, but it is delivered at a much higher price than the ‘Rate Per Gram’. REL has decided to end all these age old practices in the jewellery business by introducing the ‘Real Rate Per Gram’. At SHUBH Jewellers, REL would be offering a wide range of designs of gold jewellery, wherein each piece would be BIS hall marked at ‘Real Rate Per Gram’.

The new concept of ‘Real Rate Per Gram’ has been called as the Gold Revolution by REL and the company has already launched 70 retail stores under the Gold Revolution in the state of Karnataka.

Rajesh Exports is manufacturer of gold and diamond jewellery. The company has its presence in entire jewellery cycle starting from refining of gold to marketing of jewellery. The company designs jewellery according to market trend and has a portfolio of 29,000 designs.