Proactiveinvestors recommends
Additional Information
Market: AIM
Sector: General Mining - Diamonds & Gemstones
EPIC: AFD
1 year chart
digital-look imported chart image
1 day chart
digital-look imported chart image
Watchlist/Portfolio

Add to watchlist:

Only registered members can add into watchlist !

Register here !
African Diamonds
www.afdiamonds.com

African Diamonds was established to develop diamond mines in Botswana and West Africa. The target is to have a producing mine within three years. Having a balanced portfolio of projects will help reach the objective. The current portfolio of the Company consists of:
JV in Botswana with Lucara to fast track the development of our licences to our goal of large gem stone quality diamond mine;
late stage exploration projects which are known to contain diamonds or diamond indicator minerals; and
early stage high potential concessions, both alluvial and hardrock.

Full African Diamonds profile here
Is AFD a Buy, Sell or Hold?Get your FREE analysis of AFD
Pdf

African Diamonds shareholders vote for takeover by Lucara

26th Nov 2010, 1:21 pm Lucara is effectively buying the rest of AK6 for £51 million, African Diamonds other assets will be spun into a new company, called Botswana Exploration

The sale of African Diamonds (LON:AFD) to Lucara Diamonds (TSX-V:LUC) moved a step closer today, after AFD shareholders voted in favour of the deal.

Last month the company recommended the £51 million takeover bid from its joint venture partner. AFD and Lucara are currently developing the AK6 diamond mine in Botswana.

Lucara will take full ownership of AK6, and African Diamonds’ other exploration assets will be spun-out into a new and separate entity - Botswana Exploration.

African Diamonds shareholders will receive 0.8 Lucara shares and 1 Botswana Exploration shares for each share held.

"I am pleased that the shareholders have resoundingly voted in support of the sale of African Diamonds to Lucara,” chairman John Teeling said.

“The transaction should complete in early January 2011 when shareholders will receive both their Lucara and Botswana Diamonds shares.”  

“We hope to list Botswana Diamonds on AIM during January 2011".

Back in October the AFD boss said the logic of the deal is compelling.

“Marrying AFD and Lucara will create a C$240 million emerging diamond producer controlling two new kimberlite diamond mines,” Teeling said in October.

“AFD shareholders win in three ways, they will hold an indirect stake in AK6 ... they get 26.57% of the Lucara interest in the high diamond value Mothae mine ... and they will get 100% of Botswana Exploration.”

 

No investment advice

The Company is a publisher and is not registered with or authorised by the Financial Services Authority (FSA). You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.