19 Feb 2010 12:36
19th February 2010
WEST AFRICAN DIAMONDS PLC
Result of General Meeting
Highlights:
·; General Meeting approves reverse takeover of Stellar Diamonds Limited ("Stellar")
·; £5 million new funds raised
·; Name change from West African Diamonds plc ("WAD") to Stellar Diamonds plc
·; 5 for 1 share consolidation
·; New board to take control
·; Re-admission and new shares to commence trading on AIM at 8.00 a.m. on Monday, 22nd February 2010
At a General Meeting of WAD, all resolutions to effect the acquisition of Stellar and associated fundraising of £5 million (gross) were passed, conditional only on Admission.
WAD will also change its name to Stellar Diamonds plc as from Admission. Existing WAD shares will be consolidated on a 5:1 basis.
A new board of directors has been appointed, and John Teeling, James Finn, Paul Nel and Alex van Zyl will resign, as of 22nd February 2010. James Campbell remains on the board.
Stellar will have the following activities:
·; Two producing alluvial diamond mines in Guinea; Bomboko and Mandala
·; Four kimberlite projects at various stages of development; Tongo and Kono in Sierra Leone, and Droujba and Bouro in Guinea
·; A strengthened balance sheet
John Teeling, Chairman, who is stepping down, commented:
"I wish the new board and management every success. They have a good platform on which to build a serious African based diamond mining company. There is further potential in the two producing mines, while the four kimberlite prospects are exciting. Diamond prices have shown a rapid recovery, which will help cash flow. This, plus the £5 million cash raised, will offer opportunities for organic and acquisitive growth".
Existing shares in WAD will be cancelled from admission to trading on AIM with effect from 8.00 a.m. Monday, 22nd February 2010.
Copies of the Admission Document are available on the Company's website (www.westafdiamonds.com) or from RBC Capital Markets, 71 Queen Victoria Street, London EC4V 4DE.
Enquiries:
West African Diamonds plc
James Campbell Tel: +27 83 457 3724
Stellar Diamonds Limited
Karl Smithson Tel: + 44 (0) 7783 707971
RBC Capital Markets
Martin Eales / Daniel Conti Tel: +44 (0) 20 7653 4000
Astaire Securities
Jerry Keen / Charles Vaughan Tel: +44 (0) 20 7448 4400
Pelham Bell Pottinger
Charles Vivian / James MacFarlane Tel: +44 (0) 20 7337 1500
College Hill
Nick Elwes Tel: +44 (0) 20 7457 2020