Diamondcorp (LON:DCP) shares picked up another 5% as investors digested last night’s rescue funding.
Existing 11.6% shareholder Rasmala is putting up £0.7mln through a Shariah-compliant secured convertible facility.
The money will satisfy an immediate need for £500,000 but DiamondCorp said it still requires an additional £2.5-3mln to get the Lace mine in South Africa into commercial production.
The Rasmala facility comprises two tranches and is secured against up to 5,000 carats of diamonds in inventory. The facility matures on 15 December.
Chairman Euan Worthington has resigned from the company’s board effective immediately, though he will stay on until a replacement is found.
Chris Ellis is to be appointed Interim Non-executive chairman, with the responsibility of overseeing the sale process announced earlier this week.
Shares in the diamond miner rose to 2.75p and have climbed by 30% this week.
--update for share price--