Business
Sale of real estate properties in Luderitz, Namibia
Sale of real estate properties in Luderitz, Namibia.
About this update from Dfr Gold Inc
[{"type":"text","content":"\n\n\n\nSYMBOL: DFI\n\n\nCAPE TOWN, Dec. 5 /CNW/ - Diamond Fields International Ltd. (DFI: TSX)\n(\"DFI\" or the \"Company\") is pleased to announce that it has entered into\nagreements for the sale of two real estate properties in Luderitz, Namibia to\nSpirit Resources SARL (\"Spirit\") for aggregate consideration of US$320,000\n(the \"Purchase Price\"). The properties, each held by the Company's\nwholly-owned subsidiary Diamond Fields (Namibia) (Proprietary) Limited,\nconsist of a commercial warehouse facility housing a basic diamond recovery\nplant designed to treat gravel recovered from small scale diver operations,\nand a nearby residential property containing two semi-detached houses with out\nbuildings which have been used primarily for crew accommodations as required\nduring transit to the Company's mining vessel. Neither property has been\nextensively used by the Company in recent years but should the Company require\nfuture use of the properties, Spirit has agreed to a lease-back on\ncommercially reasonable terms.\n\n\nSpirit is controlled by DFI's major shareholder, Jean-Raymond Boulle, who\ncurrently holds, directly or indirectly, approximately 16.3% of DFI's issued\nand outstanding common shares. The purchase price for the properties is based\nupon and supported by reports of an independent Namibian property valuer.\n\n\nThe Transaction constitutes a \"related party transaction\" under Ontario\nSecurities Commission Rule 61-501, but is exempted from the formal valuation\nand minority approval requirements of that Rule as neither the fair market\nvalue of the subject matter of, nor the fair market value of the consideration\nfor, the Transaction, exceeds 25% of the Company's market capitalization, as\ndetermined by the directors of the Company. The Transaction was unanimously\napproved by the directors of DFI, all of whom are independent of Spirit and\nJean-Raymond Boulle. The Company will not have filed a material change report\nat least 21 days prior to the completion of this Transaction, as the Company\nand Spirit only recently concluded the terms of the Transaction and, having\nreceived approval of DFI's directors and acceptance of the Transaction by the\nToronto Stock Exchange, the Company wishes to receive the sale proceeds and\nclose the Transaction on an expedited basis for sound business reasons.\n\n\nThe pr...