Dominion Diamond says working diligently on sales process

By Reuters      / June 13, 2017 / / Article Link

VANCOUVER - Canada's Dominion Diamond Corp, which put itself up for sale in March, is working "diligently" on this process and will share news with the market when it has any, chairperson Jim Gowans said on Tuesday, declining to comment further.

Speaking on a conference call about the company's results, which were released late on Monday, Gowans said Dominion's search for a new chief executive continues.


Incumbent Brendan Bell resigned in January, saying he did not want to relocate to new company headquarters in Calgary. He steps down on June 30.

Dominion is the world's third largest diamond producer by market value. It owns the Ekati mine and a stake in the Diavik mine, which is majority owned by global miner Rio Tinto, in Canada's Northwest Territories.

The company reported a loss of $7.8-million in the first quarter of its fiscal 2018 year, or a loss of 9 cents per share.

Dominion's stock was 0.2% firmer at C$17.39 on the Toronto Stock Exchange early on Tuesday afternoon.

Dominion launched the sales process following an unsolicited $1.1-billion approach from US billionaire Dennis Washington.

The Canada Pension Plan Investment Board, the country's biggest public pension fund, is considering a bid for Dominion Diamond and is studying the miner's books, people familiar with the process told Reuters.

CPPIB is one of more than five parties that have signed an agreement with Dominion to get access to its confidential data, one source said.

Stornoway Diamond, a small Canadian diamond miner, held merger talks with Dominion earlier this year, Reuters reported.