DiamondCorp Plc (LON:DCP) is in ‘accelerated’ talks with key shareholders and third parties over a £500,000 to secure the group’s financial future.
The owner of the Lace mine, which was suspended earlier this week, needs the cash injection to satisfy its immediate financial commitments.
It comes after separate funding talks with a third party came to an end, as the potential investor withdrew from discussions over a convertible debt facilty.
TIMELINE, Thursday: DiamondCorp considers options amid mine shut-down
TIMELINE: Wednesday: DiamondCorp looks to raise further finance
DiamondCorp told investors it is likely that the company would be unable to continue trading as a going concern in the very near term if it can’t achieve a satisfactory resolution to its new funding talks.
It also cautioned: “No assurances can be given at this stage that the provision of the required immediate term funding will be entered into either in time or at all.
“Additionally, in the event that the company secures the required immediate term funding, there can be no certainty that the company will subsequently secure the necessary funding solutions to meet its longer term financial requirements as previously announced.”