Tribhovandas Bhimji Zaveri shares surged nearly 20% to a record high on Tuesday after GRT Jewellers agreed to acquire a controlling interest in the 162-year-old jewellery retailer.
The stock climbed to ₹366.80, reaching its exchange-permitted upper limit for the session. More than 12 million shares changed hands by late morning, approximately 6.5 times the stock’s 30-day daily average.
The rally followed a share purchase agreement signed on August 31 under which Chennai-based GRT Jewellers will acquire the entire 74.12% holding owned by TBZ’s promoters and promoter-group entities.
The transaction marks a change of control at one of India’s oldest jewellery brands and gives GRT a significant presence outside its traditional southern markets.
Promoter Stake Valued at Up to ₹1,033.71 Crore
GRT has agreed to purchase 4,94,59,775 TBZ shares from the promoter group for a maximum price of ₹209 per share. The total consideration is capped at ₹1,033.71 crore.
The final price may be adjusted downwards following an audit conducted under the terms of the agreement. Completion is also subject to regulatory approvals and customary closing conditions.
The ₹209 maximum purchase price is substantially below the market price. It represented a discount of approximately 31.6% to TBZ’s closing level before the deal was announced and an even larger discount to Tuesday’s record high.
This transaction concerns shares held by the existing promoters. The money will therefore be paid to the selling shareholders and will not become fresh capital available to TBZ for expansion or debt reduction.
The sellers include members of the Zaveri family and two promoter-group companies. Once the acquisition is completed, GRT will become TBZ’s controlling shareholder and new promoter.
Mandatory Open Offer Targets Remaining Shares
The change of control has triggered a mandatory open offer under Securities and Exchange Board of India takeover regulations.
If shareholders tender the entire quantity covered by the offer, GRT’s additional expenditure could reach approximately ₹431.10 crore. Combined with the promoter transaction, its maximum potential outlay would be around ₹1,464.81 crore.
The open-offer price is higher than the maximum ₹209 being paid to the promoters but remains well below Tuesday’s market price.
That difference is important. The strong movement in TBZ shares cannot be explained simply by investors purchasing the stock to tender it at a higher open-offer price. Instead, the rally indicates expectations that new ownership could accelerate expansion, improve execution or strengthen the company’s competitive position.
The offer itself does not guarantee that every public shareholder will sell. Acceptance will depend on participation, while the transaction must proceed through the prescribed regulatory process.
Combined Network Creates Wider National Presence
GRT operates 68 stores in India and one in Singapore. TBZ operates 37 stores and has an established footprint in western India. The company traces its history to 1864, when its first store was established in Mumbai’s Zaveri Bazaar.
Bringing the two networks together would give GRT access to markets where its physical presence is currently smaller. TBZ, in turn, could benefit from GRT’s larger operating scale, sourcing relationships and experience managing an extensive jewellery network.
Analysts at ICICI Direct said the combination would connect GRT’s strength in southern India with TBZ’s position in western markets. SBICAPS Securities said investors were anticipating a new phase of growth under the incoming promoter.
Neither company has yet announced detailed plans concerning store integration, brand positioning, management changes or the pace of future expansion. TBZ could continue operating under its established identity, but the final strategy will become clearer only after the acquisition closes.
Financial Growth Adds to Market Optimism
TBZ enters the transaction after reporting improved quarterly performance.
Consolidated revenue from operations rose 34.8% year-on-year to ₹840.97 crore during the quarter ended June 30, 2026. Consolidated net profit increased 50.8% to ₹33.92 crore from ₹22.50 crore in the corresponding period.
The results reflected higher jewellery sales and stronger demand around Akshaya Tritiya and the early summer wedding season. They also provided a favourable operating backdrop before the ownership announcement.
The wider organised-jewellery industry has continued gaining share from independent retailers. Consumers are increasingly choosing branded chains because of hallmarking, product consistency, exchange policies and greater confidence around purity.
High gold prices have created a mixed environment. Elevated prices can weaken jewellery volumes or encourage customers to purchase lighter products, but they also increase the reported value of sales and inventories.
GRT’s proposed acquisition gives it a faster route into new markets than building a national store network entirely from the ground up. For TBZ, the transaction introduces a larger strategic owner with an established retail platform.
The immediate market response has been emphatic: TBZ reached a record ₹366.80 with unusually heavy trading. Attention will now move to regulatory approvals, completion of the promoter purchase and the formal open-offer process.
