Adamas One Corp. (NASDAQ:JEWL) has announced a non-binding letter of intent (LOI) to acquire a key lab-grown diamond manufacturer, Flawless Allure Grown Diamonds, LLP (FAGD).
Adamas said the acquisition allows it to control all aspects of production of the company’s lab-grown diamonds, as the cut and polish capabilities of this entity significantly adds value to its holdings.
"This acquisition will solidify our position as a leader in the Lab-Grown diamond industry based on our capabilities to vertically integrate, produce and market Lab-Grown Diamonds," Adamas One CEO Jay Grdina said in a statement.
"Our goal has been to complete our ecosystem and become as self-sufficient as possible, and the acquisition of Flawless, one of the top diamond cut and polishers in the industry, completes our ability to control our end-to-end production, speed of production and time-to-marketing," he added.
Grdina also noted that the pending acquisition would create minimal to no shareholder dilution.
The company added that the acquisition would include all patents, trademarks, know-how, trade secrets, supply lists and other assets of intellectual property, as well as all material assets, including property and property rights currently held by the soon-to-be acquired company.
Adamas One is a lab-grown diamond manufacturer that produces near-flawless single-crystal diamonds for gemstone and industrial applications at its facilities in Greenville, South Carolina. The company holds 36 patents and uses its proprietary chemical vapor deposition to grow gem-sized and smaller diamond crystals.
Contact Sean at sean@proactiveinvestors.com