Table of Contents
Key Points
- Gemfields is selling iconic jeweler Fabergé to SMG Capital for $50 million, ending a decade in luxury retail.
- Sale proceeds will fund new mining projects in Mozambique and Zambia as Gemfields exits luxury retail to focus on gemstones.
- SMG Capital, led by Sergei Mosunov, plans global expansion of Fabergé’s jewelry, timepieces, and accessories portfolio.
Gemfields, linked to South African businessman Desmond Sacco, has agreed to sell its iconic luxury subsidiary, Fabergé Limited, to U.S.-based SMG Capital LLC for $50 million, concluding a strategic review launched in late 2024.
Under the deal, $45 million will be paid at completion—expected on August 28, 2025—with the remaining $5 million to be received through quarterly royalties at 8 percent of Fabergé’s revenue. The sale, which was classified as a Category 2 transaction under JSE Listings Requirements, requires neither shareholder approval nor regulatory clearance.
Refocusing on core mining
Founded in 1842, Fabergé is among the world’s most prestigious luxury names, famed for high-end jewelry, accessories, and objets d’art. Gemfields acquired the brand to boost the profile of its colored gemstones but is now divesting to sharpen its focus on mining operations in Mozambique and Zambia.
Proceeds will bolster working capital as Gemfields commissions a new processing plant at Montepuez Ruby Mining and ramps up production at the Kagem emerald mine, which was suspended earlier in 2025. Fabergé’s revenue fell 15 percent to $13.4 million in 2024, with a $5.7 million operating loss, reflecting a softer luxury market, the closure of its Harrods boutique, and the absence of a major one-off jewelry sale in 2023.
New custodian for a global icon
SMG Capital is wholly owned by Sergei Mosunov, a tech entrepreneur and venture capitalist with a focus on luxury brands. He said the acquisition offers “significant opportunities” to grow Fabergé’s global presence, with continued emphasis on jewelry, timepieces, and accessories.
Gemfields CEO Sean Gilbertson called the sale “the end of an era,” noting Fabergé’s role in promoting colored gemstones. “Brands as iconic and beautiful as Fabergé do not change hands very often,” he said.
A legacy of craftsmanship and prestige
Founded in St. Petersburg by Gustav Fabergé, the brand became a hallmark of imperial luxury, renowned for its intricate jewelled eggs. During more than a decade under Gemfields, Fabergé fused its heritage with modern opulence, spotlighting Zambian emeralds and Mozambican rubies before elite audiences worldwide.
One of the key figures behind that chapter is Desmond Sacco, a South African businessman and geologist who was worth an estimated $1.1 billion in 2018. As chairman and managing director of Assore Group — a major player in iron ore, manganese, and chrome mining — Sacco owns roughly 32 percent of Assore and 12.7 percent of Gemfields. He has long supported a “mine and market” approach, connecting the sourcing of gemstones directly to the luxury market.
