SourcingNov 30, 2020
De Beers, Diacore Buy Blues From the Cullinan MineSourcingMar 11, 2021
Petra Diamonds Completes Restructuring
The diamond miner first announced the move in the fall after pulling itself off the market when it couldn’t find any buyers.
Petra just sold this 299.3-carat diamond recovered at the Cullinan diamond mine to Stargems DMCC for $12.18 million. The miner has completed its debt-for-equity restructuring begun last year.
London—Petra Diamonds Ltd. has completed the restructuring of the company announced in the fall.
The miner owns four diamond mines: Cullinan, Finsch and Koffiefontein, all former De Beers Group mines in South Africa; and Williamson, a currently mothballed open-pit mine in Tanzania.
The miner owns four diamond mines: Cullinan, Finsch and Koffiefontein, all former De Beers Group mines in South Africa; and Williamson, a currently mothballed open-pit mine in Tanzania.
Weighed down with debt and hit with power outages in South Africa, lower diamonds prices and a diamond market impacted by the pandemic, Petra first put itself up for sale in June.
Then in October, the diamond miner said it was concluding the formal sale process as it hadn’t generated any viable offers and instead would enter a debt-for-equity restructuring.
That has involved its $650 million bond debt being replaced by $337 million in new notes—$30 million from existing debtholders and the rest converted into equity.
Debtholders now own 91 percent of the company and existing stakeholders’ share decreased to 9 percent.
The restructuring also included new governance arrangements and cash flow controls.
Petra also announced the appointment of Matthew Glowasky to the board as a non-executive director.
“The completion of the restructuring is a significant achievement for Petra, and I would like to thank our noteholders, lenders and shareholders for their continued support,” CEO Richard Duffy said.
“The restructuring will provide Petra with a stable and sustainable capital structure, significantly reduced financial burdens and greater liquidity, leaving us in a stronger position to focus on optimizing the value of our diversified asset base and to deliver growth for all our stakeholders.”
Meanwhile, earlier this month, Petra also announced it sold a 299.3-carat diamond recovered at the famed Cullinan diamond mine in January to Stargems DMCC for $12.18 million.
The diamond achieved a per-carat price of $40,701, exceeding the $34,386 per carat for the 424.89-carat “Legacy of the Cullinan Diamond Mine” achieved in May 2019.
The diamond achieved a per-carat price of $40,701, exceeding the $34,386 per carat for the 424.89-carat “Legacy of the Cullinan Diamond Mine” achieved in May 2019.
More on Sourcing
The Latest
AuctionsApr 16, 2021
Try On This Diamond and Pearl Tiara Before It Heads to Auction Sotheby’s created an Instagram filter for the crown, estimated to sell for up to $1.5 million.
SurveysApr 16, 2021
March Retail Sales SurgeAnother round of stimulus checks helped to bolster last month’s retail sales.
CollectionsApr 16, 2021
Supplier Kim International Revives its CatalogIt showcases 2021 and 2022 styles, with most ready to ship from Dallas, Texas.
Brought to you by
4 Reasons You Need This Program for Mother’s DayLearn how to increase customer loyalty and revenue by making JM™ Care Plan a cornerstone of your business plan.
TrendsApr 16, 2021
Piece of the Week: Anthony Lent’s ‘Lunar Galaxy’ EarringsColorful gems enliven a classic celestial motif.
Weekly QuizApr 16, 2021
This Week's QuizTest your knowledge of jewelry news from the week of April 12-16, 2021.
TechnologyApr 15, 2021
Blue Nile Hires Amazon, Timex ExecsThe jewelry retailer named a new chief operating officer and senior vice president of supply chain.
CollectionsApr 15, 2021
Check Out Stone and Strand’s First Bridal CollectionAll six styles are priced under $2,000.
Brought to you by
Evaluating Your Inventory For Success in 2021 After months of pandemic-driven social distancing, restrictions and lock-downs, consumers will be excited to visit your store. Now is the time to ensure you have the right inventory on-hand to capitalize on that excitement!
GradingApr 15, 2021
GCAL Introduces Its New Cut Grade Standard, 8XDiamonds must receive a grade of “excellent” across eight criteria to be deemed an 8X.
