Greenlab’s Bold Move: Inside the Acquisition That’s Reshaping the Lab-Grown Diamond Landscape
In a decisive move that signals a seismic shift in the global diamond industry, Greenlab Diamonds, which proudly identifies as India’s largest producer of laboratory-grown diamonds, has announced a massive expansion of its production capabilities through the acquisition of hundreds of advanced growing machines. This strategic purchase from two key technology players, Isrough and Bhanderi Lab Grown, is set to cement Greenlab’s dominance and accelerate the industry’s transformative journey towards a new era of cultivated brilliance. The move not only scales up production but also signifies a powerful consolidation within the burgeoning lab-grown sector, hinting at a future where technology, efficiency, and market control converge.
A Diamond Titan’s Expansion: Greenlab Fortifies its Position
Greenlab’s latest acquisition is a numbers game with monumental implications. Vipul Patel, the company’s president of sales, confirmed that Greenlab’s already impressive arsenal of 1,600 machines, which yields an annual output of 2.9 million carats of rough diamonds, is about to undergo a significant upgrade. The company is bringing in 105 high-tech growers from the Israeli firm Isrough and a staggering 1,000 more from Bhanderi Lab Grown. This will catapult Greenlab’s total operational capacity to over 2,500 machines, dramatically increasing its production power and market share.
This expansion is not merely about quantity. It’s a calculated step towards vertical integration and market leadership in a sector that is experiencing explosive growth. India’s lab-grown diamond industry is rapidly becoming a global powerhouse, with projections showing the market could reach over $8 billion by 2032. The Indian government has recognized this potential, naming the sector a “Sunrise Industry” and providing grants to foster research and development, aiming to establish the nation as a premier manufacturing hub.
Greenlab is at the very heart of this revolution. The company operates a pioneering, state-of-the-art manufacturing facility in Surat, a city renowned as a global diamond hub. This is not a conventional industrial plant; it’s an architectural statement that blends production with sustainability, featuring exposed brick, lush greenery, and a design that prioritizes a harmonious environment. In line with its name, Greenlab is deeply committed to sustainable practices, harnessing clean energy from its dedicated solar and wind power plants to fuel its operations.
The Quest for Perfection: Why Isrough’s Technology Was the Crown Jewel
While the sheer scale of the acquisition is newsworthy, the strategic selection of the technology, particularly from Isrough, reveals Greenlab’s ultimate ambition: to lead the market in quality and perfection.
The Allure of D, E Color and VVS Clarity
Vipul Patel was explicit about the rationale behind targeting Isrough’s machines. “They produce good color, D color and E color, and their clarity is better than anyone in this industry, VVS,” he stated. For the uninitiated, these grades represent the pinnacle of diamond quality. D and E colors are in the “colorless” range, the most sought-after and valuable, signifying a pure, icy-white appearance. VVS, or “Very, Very Slightly Included,” denotes a level of clarity that is near flawless, where any inclusions are microscopic and incredibly difficult for even a skilled grader to see.
Isrough has built a reputation for its advanced technology that produces “as-grown” diamonds. This means the gems emerge from the reactors with such high quality that they don’t require common post-growth treatments to enhance their color. Leon Peres, CEO of Green Rocks, has previously noted that many diamonds grown via the Chemical Vapor Deposition (CVD) method come out looking brownish and require further processes to make them white. The ability to produce top-tier, untreated stones consistently is a hallmark of superior technological prowess, a key asset Greenlab was keen to acquire.
The Minds Behind the Machines: Isrough’s Pedigree
The credibility of Isrough’s technology is further burnished by its ownership. The company is the brainchild of a partnership between Ofer Mizrahi, a highly respected Israeli diamond manufacturer with deep roots in both the natural and lab-grown sectors, and Cornes, a diversified Japanese conglomerate. Mizrahi’s expertise lends invaluable industry knowledge, while Cornes, through its Seki Diamond Systems division, is directly involved in manufacturing the very reactors that create these diamonds. This backing provided Greenlab with the assurance that they were not just buying machines, but investing in a legacy of technological excellence.
A Strategic Pivot: Isrough and Green Rocks Double Down on Distribution
This landmark deal is as much about strategic realignment as it is about expansion. For Isrough, selling its manufacturing hardware marks a deliberate pivot away from production to focus on its core strength: distribution, managed through its dynamic sales subsidiary, Green Rocks.
“India is the Place to Produce”: The Economic Shift in Diamond Growing
Leon Peres, the CEO of Green Rocks, provided a candid and insightful explanation for the move. “We were very proud of the technological achievement and the product we produced. But India is the place to produce. The cost of production is much lower,” he explained. Peres drew a compelling parallel to a historical shift in the natural diamond trade: “Diamond growing is following the same path as in natural diamonds. For years, Israel had the best cutters in the world, and then it went to India.” This statement captures the undeniable economic logic driving the lab-grown industry’s center of gravity towards India, with its skilled workforce, established infrastructure, and competitive cost base.
The Dawn of Consolidation
Peres also offered a glimpse into the industry’s future, a future that this very deal helps to shape. “Eventually, there’s going to be consolidation in the lab industry, and you’re seeing it begin here,” he added. As the market matures, smaller players may be acquired by larger, more efficient producers like Greenlab. This trend towards consolidation is expected to streamline the industry, leading to greater economies of scale and further innovation as key players vie for market dominance. While Isrough is stepping back from large-scale manufacturing, it will continue to conduct small-scale research, keeping a hand in the technological innovation it helped pioneer.
From a Prime Minister’s Gift to a Global Footprint: Greenlab’s Growing Influence
Greenlab’s ascent is not confined to factory floors in Surat. The company has skillfully positioned itself on the world stage through strategic marketing, high-profile associations, and a multi-pronged sales strategy that spans from international distribution to domestic retail.
A Gift Fit for the White House
Perhaps the most glittering example of Greenlab’s prominence was the 7.5-carat, eco-friendly lab-grown diamond it produced, which was presented as a state gift by India’s Prime Minister Narendra Modi to U.S. First Lady Dr. Jill Biden in 2023. This was more than just a diplomatic gesture; it was a powerful statement. The diamond, created using sustainable energy like solar and wind power, symbolized India’s leadership in the “green diamond” revolution and showcased the remarkable quality achievable in a lab. The gift, valued at around $20,000, garnered international media attention, significantly boosting awareness and prestige for both Greenlab and the lab-grown industry as a whole.
Conquering the American Market and Beyond
Greenlab’s global ambitions are being realized through a carefully structured distribution network. The company sells its polished diamonds through its U.S. subsidiary, Labon, giving it a direct foothold in the lucrative American market. Furthermore, its partnership with distributors like Green Rocks is crucial. The acquisition of Isrough’s machines will undoubtedly strengthen this synergistic relationship, ensuring that the high-quality diamonds produced by this new technology have a clear and established path to retailers and consumers across North America and Europe.
Aigiri: Bringing Lab-Grown Luxury to India’s High Streets
While expanding its global reach, Greenlab is also making a significant play in its home market. The company recently launched its own retail jewelry chain, Aigiri, to cater to the rapidly growing demand for lab-grown diamonds within India. Aigiri unveiled its first flagship store in a prime New Delhi location, with ambitious plans to open ten more stores across the country by the end of 2025. Smit Patel, a director at Greenlab Diamonds, described the strategy as a response to a “paradigm shift in the luxury jewellery sector,” where modern consumers seek not only beauty but also “sustainability and ethical sourcing.” Aigiri aims to be the face of this “conscientious luxury,” offering everything from daily wear to bespoke bridal collections, all featuring 100% CVD diamonds from Greenlab’s own facilities.
The Future is Bright and Cultivated
Greenlab’s acquisition of over a thousand new growing machines is a defining moment for the company and a bellwether for the entire diamond industry. It underscores a powerful convergence of trends: the migration of high-tech manufacturing to cost-efficient hubs like India, the inevitable consolidation of a maturing market, and the surging consumer appetite for a product that offers both exceptional quality and ethical peace of mind.
By investing heavily in production capacity and superior technology, Greenlab is not just preparing for the future; it is actively building it. The company’s strategy—from producing diamonds for heads of state to creating accessible luxury for the Indian consumer—demonstrates a comprehensive vision for leadership. As the lines between mined and made continue to blur, one thing is clear: the future of diamonds is being cultivated in a lab, and Greenlab is poised to be one of its most important gardeners.
