September 14, 2004
Joint Venture Between M. Fabrikant and Lev Leviev
M. Fabrikant & Sons, a diamond and diamond jewelry manufacturer based in New York City, announced a joint venture with LGC Holdings USA, Inc, a company belonging to diamond tycoon, Lev Leviev. The new company will be called Brilliant Trading Company and its mandate will be to source, market and distribute round brilliant cut diamonds worldwide. The venture follows another two years ago, named Fancy Trading in which the two companies joined to market fancy shaped diamonds. Leviev's cutting facilities in Armenia will be the source of the round cut diamonds sold by Brilliant Trading Co.
"The Leviev Group is the world's largest cutter and polisher of precious gems and a primary source of rough diamonds," says Matthew Fortgang, president and CEO of Fabrikant. "We have a history of great partnerships and this one in particular is strategically well planned for the twenty first century." Leviev is equally enthusiastic: "The partnership will enable both Brilliant Trading and Fancy Trading to expand their trading operations into jewelry manufacturing and distribution and to be able to offer a full product line to our valued retail customers," he says.
The Leviev Group is no stranger to joint ventures, and has been particularly aggressive in forming them this year. In May, Leviev formed a joint venture with Bulgari, a major Italian jewelry-manufacturing firm. Leviev announced in July the formation of Sodiam International, a rough diamond firm headquartered in Israel that will become the world's primary source of Angolan diamonds. At the time, Leviev also announced the development of a cutting factory in Luanda, Angola to benefit Angolans. It will reputedly be Africa's largest cutting facility. Earlier in 2004, Leviev also announced the formation of a cutting factory in Namibia where his group of companies owns a large offshore diamond mining operation.
The Leviev Group of companies is highly diversified and is reported to have a turnover of $2.5 billion annually in diamonds (rough and cut) alone. Leviev also has controlling interests in real estate, oil, contracting, industrial manufacturing and clothing manufacturing.
The joint venture with Fabrikant is strategic in nature because of the firm's reach in America and worldwide, regarding diamond and diamond jewelry sales. A fifth generation company, Fabrikant employs over 1000 people and has twenty factories located in ten countries around the globe.
Robert Weldon, G.G.