Mumbai: Gitanjali Gems Ltd, integrated diamond and jewellery maker and retailer, is thinking about getting hold of a U.S.-based jewelry retailer for about USD 100 million.

The sources said that the due diligence process is almost finish, and the company is plowing ahead with the contract.

It is one of the top jewelry retailers with more than 100 sales outlets throughout the United States. The deal is expected to be finished in two months.

Gitanjali Gems has also queued up plans in order to raise funds for its future purchase and domestic growth. The company aspires to lift USD 100 million via a global depository receipt (GDR) issue. It has also planned to bring out 10 million convertible equity warrants on preferential basis to the promoters and raise about Rs 3.20 billion. An extraordinary general meeting (EGM) has been called on November 3 to mull over the fund-raising plans.

The company intends to make entry into the luxury retail market with the help of its new venture Luxury Connexions and luxury malls. The group has decided to invest about Rs 1,000 million by 2010 for making luxury malls crosswise India and taking over worldwide brands that will be sold via Lx outlets.

The plan comprises establishment of luxury malls in eight cities, starting with Hyderabad and afterward moving to Mumbai, Bangalore, Delhi, Kolkata, Ludhiana, Chandigarh and Chennai. The luxury malls would house international brands, restaurants, spas, worldwide jewellery brands, affiliated wedding stores encircled by stylish products together with personalized services.

The company’s shares gained Rs 1.45 on Thursday to settle at Rs 361.05. The total volume of shares traded was 152,784 at the Bombay Stock Exchange (BSE).