Fosun To Acquire 80% Of International Gemological Institute

(IDEX Online) – Chinese conglomerate Fosun is acquiring 80% of the International Gemological Institute, through Yuyuan Inc., its holding company for the consumer sector.

IGI, headquartered in Belgium and established in 1975, is a gemological training and diamond grading organization. Managed by family stakeholders since its establishment, IGI has created a global diamond, gem and jewelry certification and gemological education company, serving a wide range of partners in the diamond and jewelry industry, including a broad range of local and international diamond retailers. IGI was also the first international gem grading organization to expand globally and, in particular, enter India, the largest diamond cutting center in the world, the firm said in a statement. Today, IGI operates 23 laboratories and schools around the world.

The Lorie family will retain 20% of the ultimate economic interest in IGI. IGI CEO Roland Lorie has been actively managing the business, together with his late father Marcel Lorie, and his successive partners Herman and Marc Brauner, as well as Jerry Ehrenwald. Roland Lorie will remain managing the company and help develop and implement future global growth strategies.

“The diamond and gemstone industry is growing steadily and the interest of this large conglomerate to invest in IGI shows the confidence it has in our industry. As demand for certification increases, the investment from Yuyuan of Fosun will significantly accelerate our core business, offering and presenting many new opportunities all over the globe,” said   Lorié. “By combining our resources, we are more equipped than ever to continue to provide consumers and retailers with the information and assurance they need to navigate their jewelry buying decisions.”  

In addition to evaluating gemstone and diamond jewelry, the Institute runs a School of Gemology which offers educational services and includes courses in polished diamonds, rough diamonds, colored stones, pearls and retail support.

Fosun is one of China’s biggest investment and operating conglomerates, covering financial services, healthcare and pharmaceuticals, consumer products and real estate, energy and mining. Its portfolio includes brand names such as Fidelidade, Tsingtao Brewery, Club Med, Liberty 28 Plaza in downtown Manhattan, and others.

“We are very happy to start this partnership with IGI, which provides us a unique opportunity to work with the diamond community around the world,” said Xu Xiaoliang, who is the Executive Director and co-President of Fosun, and also Chairman of Yuyuan Inc. “IGI has built great fundamentals and human capital over the years, with highly respected expertise and input from both the Lorie and Brauner families. We believe IGI is well positioned to bring its gemological knowledge and expertise to emerging markets, including China. We are happy to be part of the future growth of IGI at this exciting stage of the industry’s development.”

Marc Brauner will resign as co-CEO after having brought Fosun and IGI together. Following a career of 30 years with the group, Marc Brauner has decided to leave the group, along with his eldest son Youry, and pursue other interests. “At a time of industry challenges, partnering with a well-funded and visionary group such as Fosun can be considered the crowning achievement of my career with IGI, and will uniquely position IGI for a bright future,” said Brauner.