FONT-SIZE Plus   Neg

Diamondcorp Finalizes Tiffany Loan And Diamond Offtake Agreement

Diamondcorp PLC (DCP.L), Monday said it has finalized with Laurelton Diamonds, a wholly-owned subsidiary of Tiffany & Co. (TIF) the term loan of $6 million in exchange for an Offtake Agreement for diamond production from the Lace mine in the Free State province of South Africa. The terms of the agreement remain unaltered from those previously announced, added Diamondcorp.

The development paves way for the proceeds of the convertible bond issue to be released from escrow and completes the funding required for the 47 level block cave development at Lace.

The loan is expected to come at an interest rate of 9 percent annually and must be repaid in full by the 8th anniversary of the Second Funding Date, April 10 of this year.

The Offtake Agreement is expected to give Laurelton Diamonds the right to purchase production which meets the required quality and color standards from the Lace Mine, and is said to take effect from the first funding date, January 10 this year, until the end of the life of the mine, subject to conditions.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Apple confirmed that it has bought face animation software firm Faceshift, although it was tight lipped about how it intends to use the new addition. The move is speculated as a bid to expand into virtual reality. Environment ministry of South Korea Thursday ordered Volkswagen Korea to recall 125,522 diesel vehicles on determining actual emissions of nitrogen oxides. The ministry has asked the German automobile maker to pay a fine of 14.1 billion Won or $12.31 million. The company has to submit a recall plan by January 6, 2016. The U.S. Food and Drug Administration has alerted health care professionals and patients of a voluntary recall of compounded multivitamin capsules containing high amounts of Vitamin D3 (Cholecalciferol), distributed nationwide by Glades Drugs in Pahokee, Florida. FDA has received reports of several...
comments powered by Disqus
Follow RTT