Indian lab-grown diamond company Fenix has received court approval to buy rival Israeli producer Lusix for $4 million, the two companies confirmed to JCK.

They declined further comment. The news first appeared in Israeli business publication CTech.

Lusix had filed for debt relief under Israel’s insolvency law in August. The following month, Japanese manufacturer EDP, which produces lab-grown diamond seeds, made a deal to buy Lusix for around $2.5 million, pending court approval. But EDP eventually withdrew its offer, citing Israel’s security situation and Fenix’s higher bid, CTech reported.

The publication said final bidding came down to two candidates, Fenix and PD Holdings, that each offered $4 million, but the judge gave the nod to Fenix, which had pledged to retain more of Lusix’s employees. (Fenix had also bid earlier in the process.)

Naman Parikh is listed at Fenix’s managing director. Parikh’s family also owns De Beers sightholders Mahendra Brothers and Diarough.

Founded by Israeli tech magnate Benny Landa, Lusix was backed by approximately $152 million in funding, and in 2022 it received a surprising investment from LVMH.

Despite a reputation for strong ethics and scientific know-how, Lusix struggled amid falling lab-grown prices. It recorded 2022–2023 losses of $53.5 million, and lost an additional $11.5 million in the first half of 2024, according to CTech. At the time of its insolvency filing, the company had racked up 103 million shekels (approximately $29 million) in debt.

(Photo courtesy of Lusix)

 

 

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