DWF and DLA Piper UK advised in the $50m acquisition of luxury jeweller and fabled brand Fabergé.
DWF represented Fabergé’s parent company Gemfields, a British gemstone miner listed on the London Stock Exchange, while DLA Piper UK acted on behalf of US company SMG Capital, which is owned by London-based tech entrepreneur and venture capitalist Sergei Mosunov. Mosunov said he plans to expand Fabergé’s global presence and continue its focus on jewellery and accessories.
Upon closing, Gemfields received an initial $45m payment and will receive the remaining $5m through quarterly royalty payments. The company said it will use the money from the sale to help fund its mining operations for rubies at its Montepuez mine in Mozambique and emeralds at its Kagem mine in Zambia.
The DWF team was led by corporate partner James Wilson, supported by corporate director Jemil Visram, corporate solicitor Matthew Kernohan and tax partner Tom Rank.
Visram said: “It’s been a privilege to support Gemfields on this transaction, which represents a milestone in its continued evolution. We’re proud to have worked closely with the Gemfields team to help deliver a successful outcome on what has been a high-profile and widely reported transaction.”
The DLA Piper team advising SMG Capital on the transaction was led by London-based partner Alexander Kolmakov, supported by senior associates Hannah Theakston and Marcia Kidd and associate Dana Drozina. Partner Matt Davies and legal director Gemma Grunewald are advising on tax matters.
Kolmakov added: “It is a privilege to have advised Sergey Mosunov and SMG Capital on the acquisition of such an outstanding, historical and globally recognised brand. Fabergé has a unique heritage spanning across Russia, England, France and the USA. I have a similar background in terms of geography, so this deal was of particular personal interest. I can’t wait to see the next chapter of Fabergé’s history being written under Sergey’s leadership.”
Sean Gilbertson, the chief executive of Gemfields, said the company would miss the “marketing leverage and star power” that came from owning Fabergé, despite the fact that the brand has struggled in recent years amid a downturn in the luxury goods market.
Fabergé has been one of the most renowned jewellers in the world for almost two centuries, but its revenue has fallen in recent years. The company reported revenues of $13.4m in 2024, down from $15.7m the previous year and $17.6m in 2022.
Founded in 1842 by Gustav Fabergé in Saint Petersburg, Russia, the company is known for designing elaborate, jewel-encrusted Fabergé eggs for Russian royalty, as well as a range of other high-quality, intricate objets d’art.
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