Di­a­mondCorp list­ing on the JSE to be re­moved

The Star Early Edition - - BUSINESS NEWS -

DI­A­MONDCORP an­nounced yes­ter­day, that the Is­suer Reg­u­la­tion Divi­sion of the Jo­han­nes­burg Stock Ex­change (JSE) has agreed to the re­moval of its sec­ondary list­ing sta­tus from the al­ter­na­tive board as the com­pany is no longer el­i­gi­ble for a list­ing on the JSE.

Trad­ing in the Di­a­mondCorp’s shares on the JSE’s al­ter­na­tive board, and on the Lon­don stock ex­change, was sus­pended in Novem­ber last year. Ter­mi­na­tion of Di­a­mondCorp’s sec­ondary list­ing sta­tus on the al­ter­na­tive board will come to com­ple­tion on Mon­day, July 24.

Trade in Di­a­mondCorp has run into dif­fi­cul­ties as Lace Di­a­mond Mine, its core busi­ness in the Free State, was hit with a se­ries of set­backs which re­sulted in the tem­po­rary sus­pen­sion of min­ing and put fur­ther strains on its bal­ance sheets.

Di­a­mondCorp filed no­tice of its in­ten­tion to ap­point ad­min­is­tra­tors ear­lier this year af­ter the board de­ter­mined that the com­pany was no longer able to con­tinue trad­ing as a go­ing con­cern, and was put un­der a busi­ness res­cue pro­gramme man­aged by Deloitte and Touche.

Lace Mine was put into busi­ness ad­min­is­tra­tion fol­low­ing the im­pact of ad­verse weather which re­sulted in flood­ing, and the com­pany tried in vain to re­fi­nance the op­er­a­tion via a plac­ing and debt re­struc­tur­ing.

The miner was also dealt a blow late last year when the Depart­ment of Min­eral Re­sources is­sued it with a Sec­tion 54 shut­down no­tice on un­der­ground op­er­a­tions fol­low­ing a fire in­ci­dent on a dump truck just in­side the por­tal to the de­cline. – ANA

Di­a­mondCorp’s Lace Mine in the Free State

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