The International Gemological Institute (IGI) has acquired American Gemological Laboratories (AGL), a move that marks a significant consolidation in the specialized world of luxury gemstone certification.

The deal, backed by IGI’s majority owner, the private-equity giant Blackstone, aims to marry IGI’s massive global infrastructure with AGL’s niche reputation for scientific precision in colored stones like rubies, sapphires, and emeralds. While IGI is a dominant force in diamond grading, the acquisition provides a strategic foothold in the “colored-gem” segment, which has seen surging interest from high-end collectors and retailers seeking greater transparency.

Tehmasp Printer, Managing Director and Global Chief Executive Officer of IGI, says: “This is a transformational step for the industry. By combining AGL’s scientific leadership in coloured gemstones with IGI’s global platform, we are building a future-ready certification ecosystem that delivers scale without compromising integrity or science. Together, we are setting a new global benchmark for trust, transparency and consistency in gemstone certification.”

The acquisition comes at a time when “provenance”—the ability to track a stone’s origin from mine to market—has become a critical factor for jewelry buyers. AGL has long been a leader in provenance reporting, a service IGI plans to scale globally through its existing laboratory network.

Industry veterans see the deal as a sign of professionalization in a fragmented market. Dev Shetty, founder of Jemora Group and a former executive at mining firms Gemfields and Fura Gems, served as a strategic advisor on the transaction.

For Blackstone, the deal represents a continued bet on the luxury supply chain. By broadening IGI’s capabilities, the firm is positioned to capture a larger share of the certification fees paid by manufacturers and retailers who require third-party validation to satisfy increasingly cautious consumers.

The combined groups plan to collaborate on new reporting tools and educational programs, leveraging IGI’s reach to bring AGL’s standards to international markets beyond the United States.