IGI Acquires AGL for $13.2 Million, Expanding Colored Gemstone Expertise

Strategic Acquisition Bolsters Global Colored Gemstone Services

The International Gemological Institute (IGI), a leading independent diamond grading and certification organization, has announced the acquisition of American Gemological Laboratories (AGL), a prominent lab specializing in colored gemstone analysis and provenance reporting. The deal, valued at approximately $13.2 million, is set to significantly expand IGI’s footprint in the colored gemstone market and enhance its global service offerings.

The acquisition was confirmed following a board of directors meeting for International Gemological Institute (India) Ltd., which is owned by private equity firm Blackstone. IGI USA, a step-down subsidiary of IGI, will purchase a 100 percent stake in AGL Holdco from Chris and Helene Smith. The transaction includes an initial payment of $9 million at closing, with an additional $4.2 million payable post-closing, contingent upon specific conditions.

AGL to Operate Independently Under Continued Leadership

Following the acquisition, AGL will maintain its headquarters in New York City and will continue to operate independently under its established brand, with its reports still identified as ‘AGL’ reports. Chris Smith, who has served as AGL’s president and chief gemologist since April 2009, will remain in his role. IGI has stated that no immediate operational changes are planned, ensuring continuity for AGL’s clients and team.

Chris Smith expressed optimism about the new chapter, stating, ‘This acquisition represents a pivotal opportunity for AGL to significantly grow its colored stone services. With the support of Blackstone and the international reach of IGI, AGL will improve and expand the standards of integrity and service on a global scale.’ He further noted that the acquisition ‘secures the future of AGL for our team, for the industry, and for our clients,’ emphasizing the importance of maintaining independence, a goal shared by IGI.

Synergistic Growth and Global Expansion

The acquisition is viewed as a strategic move for both organizations. For AGL, it presents an opportunity to extend its reach beyond the U.S. market and scale its colored gemstone services with the backing of IGI’s extensive global infrastructure. AGL has historically received numerous requests for global services but lacked the resources to fully implement them.

For IGI, the acquisition diversifies its revenue streams into the rapidly growing colored gemstone segment. Tehmasp Printer, IGI’s managing director and global CEO, described the move as ‘a transformational step for the industry.’ He added, ‘By combining AGL’s scientific leadership with IGI’s global platform, we are building a future-ready ecosystem that delivers scale without compromising integrity. Together, we are setting a new global benchmark for consistency in gemstone certification.’

Historical Context and Future Outlook

AGL, founded in 1977, is recognized for its pioneering work in country-of-origin reporting for gemstones in the United States. The lab has served major luxury brands, auction houses, manufacturers, and private collectors worldwide. Its expertise in colored gemstone analysis is highly regarded in the industry.

IGI, which was acquired by Blackstone in 2023 and subsequently went public in India in December 2024, aims to leverage AGL’s specialized scientific knowledge to strengthen its global training programs. The integration is expected to enhance transparency and innovation in gemstone certification, creating a combined entity at the forefront of trust and expertise in the global jewelry sector. Dev Shetty, founder and CEO of Jemora Group, served as a strategic advisor on the transaction.