Gem Diamonds Di Regulatory News (GEMD)

18 Dec 2007 14:38

Gem Diamonds Limited18 December 2007 18th December 2007 GEM DIAMONDS LIMITED ("Gem Diamonds" or the "Company") GEM DIAMONDS AUSTRALIA TAKEOVER BID FOR KIMBERLEY CLOSES Further to the announcement by Gem Diamonds on 3 December 2007 of Gem DiamondsAustralia Pty Limited's (Gem Diamonds Australia) relevant interest in 93.03% ofthe issued share capital of Kimberley Diamond Company NL ("Kimberley"), theCompany can confirm that the Offer to acquire all issued shares in Kimberleyclosed yesterday, 17 December 2007, at 5.00 pm (Western Summer Time, Australia)with Gem Diamonds Australia having acquired a relevant interest in 95.96% ofKimberley. Gem Diamonds Australia has commenced the compulsory acquisition of the remainingKimberley shares and dispatched compulsory acquisition notices to the remainingKimberley shareholders on 10 December 2007. Kimberley's shares were suspended from quotation on the ASX at the close ofbusiness in Australia on 17 December 2007 and their admission to trading on AIMwill be cancelled on 21 December 2007. Following the completion of the acquisition of Kimberley, Gem Diamonds nowcontrols four producing assets; the Letseng Mine in Lesotho, the Cempaka mine inIndonesia, the Mbelenge mine in the DRC and now the Ellendale Mine in WesternAustralia, renowned for its production of fancy yellow diamonds. Definitions used in this announcement shall have the meanings given to them inthe shareholder circular posted 28 September 2007, except where context requiresotherwise. For further information: Gem Diamonds Australia Stephen Wetherall Tel: +61 437 855 164 Pelham PR James Henderson Tel: +44 207 743 6673 About Gem Diamonds Gem Diamonds is a diamond mining company with a balanced portfolio of aproducing kimberlite mine, two producing alluvial mines, development projectsand long-term prospects. Established in July 2005, Gem Diamonds ispursuing an accelerated growth strategy and aims to become one of the world'sleading diamond companies. Gem Diamonds currently has one producing kimberlitemine, Letseng, in Lesotho, two producing alluvial mines - Cempaka inIndonesia and Mbelenge in the Democratic Republic of Congo (DRC), a kimberlitedevelopment project in Botswana, two development projects in the DRC, one in theCentral African Republic and an option to develop the Chiri kimberliteconcession in Angola. Pursuant to the Offer, Gem Diamonds has also recently acquired control ofKimberley Diamond Company, which owns the Ellendale Mine in Western Australia. Gem Diamonds currently has a specific focus towards higher value diamonds, asegment of the market that its management believes will deliver superior longterm returns. For further information about Gem Diamonds visit www.gemdiamonds.com. This information is provided by RNS The company news service from the London Stock Exchange