Thangamayil Jewellery Ltd - Stock Valuation and Financial Performance

The company was incorporated as a private limited Company on March 24, 2000 under the Companies Act, 1956 as Thangamayil Jewellery Private Limited vide Certificate of Incorporation issued by the Registrar of Companies, Tamil Nadu, Chennai. The name of the Company was changed to Thangamayil Jewellery Limited upon conversion into Public Limited Company with effect from November 20, 2007 and a fresh certificate of incorporation was obtained from Registrar of Companies, Tamil Nadu, Chennai.

The Company is one of the leading jewellery retailers in Madurai. Prior to the formation of Thangamayil Jewellery Private Limited in the year 2000 the business was carried on by the promoters of the company in the name of Balu Jewellery (Partnership concern). Since 1984 the company is in the business of manufacturing and trading of jewellery.

The company was formed with an objective to carry on the business of jewellers, goldsmiths, silversmiths and dealers in precious metals, articles of vertu, coin, precious and semi precious metals, metals, bullions, diamonds, precious and semiprecious stones, gems, gemstones and manufacturers, dealers, importers and exporters and traders of all types of Jewellery, Jewellery products, articles of vertu, coins, watches, cutlery, curios, ornaments, utensils, made out of platinum, gold, silver or any combinations thereof, or any contribution of any of them with any other metal or alloy; to carry on the business of importers and exporters and dealers and traders in diamonds, precious and semi precious stones, gems and gem stone.

The Company trades in Gold Jewellery, Diamond and Platinum jewels. The ornaments are also made to order as per specific requirements by the customer and the same are manufactured at the company’s unit near Madurai. Further gold Jewels are bought readymade from various dealers in the states of Andhra Pradesh, Gujarat, Kerala and West Bengal, according to the designs, models and current fashions and demand in the market for sale at the counters.

Thangamayil introduced the Hallmarking practice for the first time in Madurai and also conducted an awareness campaign introducing this concept to the customers in the market serviced by the Company. The Company has its showroom at Netaji Road, Madurai. This showroom was set up in the year 2001. The showroom is housed in a three storied set up in total area of 11,416 sq. ft.

The Company has a policy of price assurance with respect to returns of the product subject only to changes in underlying metal prices. Again, the Company has very transparent practices when it comes to exchange of jewellery. Customers often bring in jewels purchased from other retailers for exchange and remaking into new jewellery. The Company has acquired sophisticated machinery to measure the quality and carat value of the gold brought in. The measurements are scientific and tamper proof, thereby giving the customer an assurance on the exchange value that they receive in return for their jewellery. These initiatives have gone to build a sound reputation for the Company in the minds of the customers.

In case of diamonds, items like ear stud, nose ring, diamond necklace etc., are made to order and or bought readymade from the respective dealers as per the designs and demand of the customers. The stones are verified for its “Dosham” before the sale to the customers as a tradition prevails in south India for diamond articles for purity and blemishes of the stone. Platinum jewels are also sold according to the customers’ specification and requirements. The gold jewels are tested for its purity and hallmarked at 916* for a guaranteed quality and purity of its contents by the Company.

During the financial year 2008-09 the Company in its efforts to have retail presence all over Tamilnadu, opened three retail outlets at Rajapalayam, Ramanathpuram and Karaikudi. The areas of the showrooms are 1200 sq. ft., 6700 sq. ft. and 2500 sq. ft. respectively. TMJL has recently opened a new showroom at Dindigul and is taking steps to open a showroom at Trichy

Products manufactured by the company include:

• Gold jewellary
• Diamond Jewellary
• Silvar jewellary
• Platinum Jewellery
• Gem Stones
• Gift items
• The company also offers Chit scheme and fixed deposits

Milestones:

• 2000, March - Incorporated as Thangamayil Jewellery Private Limited
• 2001, May- Purchase of Gold Assaying Machine to ensure quality of gold ornament through laser technology
• 2001, June-Opening of exclusive Showroom for Diamond and other precious stones at Madurai (entire showroom 15000 sq.ft)
• 2001, August- Obtained BIS hallmarking license – pioneers in the field
• 2003, May-With the help of World gold council, initiated the concept of “Akshya Thritiyai” and helped in a breakthrough in gold jewellery market.
• 2006, January-Registration of “Thangamayil” as a trademark
• 2008, April-Opened showroom at Rajapalayam (entire showroom 1500 sq.ft)
• 2008, September-Opened showroom at Karaikudi (entire showroom 2250 sq.ft) 
• 2009, March-Opened showroom at Ramanathpuram (entire showroom 3000 sq.ft)