Diamond Fields International intends to make a normal course issuer bid to acquire up to one million common shares, representing 1.9 per cent of the issued and outstanding common shares of DFI, over the course of the next 12 months. Purchases under the bid will be eligible to commence on June 7, 2002, and will cease no later than 12 months thereafter. All common shares purchased pursuant to the bid will be cancelled and returned to the company’s treasury as unissued common shares.
The company’s previous normal course issuer bid expired on May 31, 2002, and lead to the company’s purchase of a total of 130,500 of its own common shares at prices ranging between 58 cents and $1.50 per share and averaging $1.06 per share.
“The company continues to sense that there is a perceived discrepancy between the current market price of DFI’s common shares and what we believe is a significantly higher inherent value in DFI and its assets. Purchases under the bid will be funded from operating cash flow and will not affect DFI’s ability to implement its current business plans which include the purchase of its own dedicated mining vessel to develop and mine its known diamond resource outside of the DFI-Trans Hex joint venture area,” said Francis J. Waldron, chairman of DFI.
The member firm of the Toronto Stock Exchange responsible for co-ordinating purchases under the bid will be Haywood Securities, at its principal offices at Commerce Place, 400 Burrard St., Suite 2000, Vancouver, B.C., V6C 3A6; phone: (604) 697-7100; facsimile: (604) 697-7499.
WARNING: The company relies upon litigation protection for “forward-looking” statements.
