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De Beers to include DTC SA in empowerment plans

30th July 2013

By: Creamer Media Reporter

  

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JOHANNESBURG (miningweekly.com) – De Beers has approved a deal that would see De Beers Consolidated Mines’ (DBCM’s) empowerment partner Ponahalo Holdings earn a stake in Diamond Trading Company South Africa (DTC SA).

DBCM said on Tuesday that the De Beers group of companies had accepted its offer for DTC SA and that the DTC SA business will be transferred as a going concern under Section 197 of the Labour Relations Act.

Ponahalo, which acquired a 26% stake in DBCM in 2006, will now also hold a 26% interest in DCT SA.

“We are pleased to continue to align our South African operations to the transformation objectives of the country.  The post-recession recovery of De Beers and the increasingly strong performance of DBCM over the past few years, have enabled us to now deliver on our determination to empower DTC SA,” DBCM chairperson Barend Peterson said in a statement.

This transaction broadens the black economic-empowerment participation in DBCM and will improve the company’s cash flows and strengthen its balance sheet.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

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