Platinum’s rare nature gives it additional value and appeal

Huw Daniel is the CEO of Platinum Guild International, overseeing market development activities in China, Japan, India and the USA, on behalf of the platinum producers of South Africa. Before taking up this role in 2015, Huw ran PGI USA for 12 years...

13 september 2021

Marco Carniello: We want to continue to be the engine boosting the jewellery industry

Italian Exhibition Group (IEG) is a leader in Italy in the organisation of trade fairs and one of the main operators in the trade fair and conference sector at European level, with structures in Rimini and Vicenza, as well as further sites in...

06 september 2021

There is a significant need for smart and technological financial solutions in the diamond industry

MDPS, the Israeli start-up Fintech company from the Mazalit Group is gearing up to enter the diamond industry soon. Zeev Maimon, the CEO of MDPS is also the Founder / CEO of MAZALIT, a B2B payment platform designed and dedicated to the global diamond...

30 august 2021

The future for synthetics lies in that it has become possible to grow a stone you want and make what you want out of it

Alex Popov, President of the Moscow Diamond Exchange and head of the Âme jewelry brand, which uses lab-grown diamonds to produce jewelry, sat for an interview with Rough&Polished sharing his views on the coexistence of natural and man-made diamonds in...

23 august 2021

De Beers’ GemFair ropes in more than 160 Sierra Leone artisanal miners

De Beers inaugurated its GemFair pilot programme in Sierra Leone’s Kono District with 14-member mine sites in 2018 to create a secure route to market for ethically sourced artisanal and small-scale diamonds. GemFair programme manager Ruby Stocklin-Weinberg...

16 august 2021

Sterne Agee Raises Outlook, Price Target on Signet

24 february 2014

Sterne Agee raised its rating outlook on Signet Jewelers to ''Buy'' citing potential earnings per share (EPS) in excess of $11 by fiscal year 2017 compared with only $6.35 without the planned merger with Zale Corporation, Rapaport reported. The firm believed that improvements from Zale's margins and productivity coupled with the benefits of Signet's best-in-class omni-channel processes will continue to attract investor interest during the next 24 months. Sterne Agee raised its price target on Signet to $120 per share.
Signet agreed to buy Zale for $21 per share last week in a deal valued at about $1.4 billion, which includes roughly $500 million of debt held by Zale. Sterne Agee believes that presumed synergies between the two former rival jewelers may even prove to be conservative over the long term.
Signet anticipates generating  $100 million in post-merger operating synergies by its third full fiscal year, which is 2017, including $50 million savings from improved sourcing, $20 million by eliminating redundant sales and administration costs and another $30 million from incremental product margins. Sterne Agee added that Zale's credit agreement that begins in October 2015 will further reduce costs by $22 million, resulting in $122 million of total benefits to earnings before interest and tax (EBIT).
''We believe this number could prove conservative (not accounting for various levers, such as leverage on advertising and landlords, headcount reduction, distribution savings, etc., and total synergies could reach $175 million by our estimation,'' according to Sterne Agee's analyst Ike Boruchow.