Home / Business and Economy / Rivals Shine: Chennai Buys Mumbai's TBZ, TN Chain Booms
Rivals Shine: Chennai Buys Mumbai's TBZ, TN Chain Booms
24 Sep
Summary
- TBZ's control shifts to Chennai's GRT Jewellers for ₹1,033.71 crore.
- Thangamayil Jewellery saw volumes grow only 9% despite 86% profit jump.
- Both jewellers' stocks multiplied eight to nine and a half times in five years.
Two prominent Indian jewelry retailers, TBZ and Thangamayil Jewellery, have delivered remarkable stock performance over the past five years, with both seeing their share values increase between eight to nine and a half times, significantly outpacing Titan.
TBZ, established in 1864, is undergoing a change in control as GRT Jewellers of Chennai agreed to acquire the promoters' 74.12% stake for up to ₹1,033.71 crore, with an open offer at ₹249.61 per share. Despite its stock trading significantly above the offer price, TBZ's financial health shows less robust cash flow, with FY26 operating cash at only ₹30 crore against a net profit of ₹202 crore.
Thangamayil Jewellery, a chain primarily operating in Tamil Nadu, has seen its market capitalization swell over three times that of TBZ. While reporting a 264% jump in trailing net profit, its June 2026 quarter results revealed only a 9% increase in gold ornament volumes, with much of the revenue growth attributed to price increases.
The market is interpreting these two companies differently. TBZ's stock has hit upper circuits post-deal announcement, driven by speculation on its new ownership. In contrast, Thangamayil's stock fell approximately 19% after its June quarter results, despite an 86% profit surge, due to concerns over volume growth and potential impacts of gold duty changes.
