Faberge Secures New Custodian in Fifty Million Dollar SMG Capital Acquisition Deal

Luxury jeweller Fabergé, renowned for its opulent imperial Russian Easter eggs, has changed hands in a deal valued at $50m. The sale sees Gemfields, the gemstone mining company, agreeing to transfer ownership of Fabergé to SMG Capital, a US investment firm headed by technology investor Sergei Mosunov.

Gemfields originally acquired Fabergé in 2013 for $142m from Pallinghurst, a private equity company. Following political unrest in Mozambique and the subsequent freezing of operations at its ruby mine, Gemfields decided in December to put the iconic brand up for sale in response to market pressures and operational challenges. The decision comes amid a broader downturn in the luxury goods market, with Fabergé’s revenues declining to $13.4m in 2024 from $15.7m the previous year.

Fabergé, established in 1842 and transformed under Peter Carl Fabergé in 1882, has long held its position among the world’s most notable jewellers. Its Imperial Easter eggs were first created as court commissions during the reign of Tsar Alexander III, with 50 Imperial eggs now spread across collections globally. The dramatic chapter of the 1917 Russian revolution led to the Bolsheviks seizing and closing the Fabergé workshops, forcing the family to flee across Europe. Through several ownership changes and brand revivals—including its $180m sale in 1984 and later transitions through consumer giants such as Unilever—the Fabergé name has continued to resonate within high luxury circles.

Mosunov, a Russian national based in the UK, spoke of the brand’s cross-continental heritage as a source of opportunity for future growth and increased presence in the global luxury sector. The acquisition is regarded by Gemfields executives as the end of a significant era, with Fabergé previously playing a key role in promoting Gemfields’s coloured gemstones.

Beyond its famous Easter eggs, the brand also boasts prized ranges of jewellery and watches. Notably, the Castle Howard Fabergé collection, featuring intricately carved animal figurines in stones such as topaz and nephrite, was recently offered at auction.

Gemfields intends to allocate the proceeds from the sale to support its mining ventures in Mozambique and Zambia. In recent times, shares in Gemfields have dropped sharply on both the London and Johannesburg exchanges, impacted by oversupply issues in the emerald sector and operational setbacks due to permitting and illegal mining activities. The sale of Fabergé marks a strategic step for the mining company to stabilise its finances and refocus on core activities.