Lucara buys African Diamonds for CAD 82mn in Botswana deal

By bne IntelliNews October 5, 2010
Lucara Diamond Corporationhas agreed to buy exploration company African Diamonds for CAD 82mn in a dealthat will enable both companies to benefit from the AK6 diamond discovery inBotswana, it was reported. The deal will see shareholders get CAD 0.80 of aLucara share and 1 share in a new company, Botswana Exploration plc, for every1 share in African Diamonds. As a result, African Diamonds will own 26.6% ofLucara, which will wholly own AK6. African Diamonds chairman John Teeling saidthe logic of the deal is compelling and that marrying the two companies willcreate a CAD 240mn emerging diamond producer controlling two new kimberlitediamond mines.

Related Articles

South Africas Exxaro mulls firing striking coal miners.

South African company Exxaro Resources said one of the options it currently considers is dismissing striking coal mine workers who fail to return to work in the week of March 25, fin24 reported ... more

South Africas Telkom says there is no decision to lay off 13,000 employees.

South Africas telecommunication operator Telkom said that it has not made a decision on retrenching 13,000 employees, or more than half of its staff, TechCentral reported quoting a company ... more

BP, Masana Petroleum Solutions sell LPG business in South Africa.

Oryx Energies, a major independent provider of oil and gas products and services in Africa, has agreed to buy the South African liquefied petroleum gas (LPG) distribution businesses of BP and ... more

Dismiss