| Wed 6 Jan 2010, 15:30 | | RDI- Rockwell Completes $7.4 Million Financing and Appoints a New Director |
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RDI
RDI
RDI- Rockwell Completes $7.4 Million Financing and Appoints a New Director
ROCKWELL DIAMONDS INCORPORATED
(A company incorporated in accordance with the laws of British Columbia, Canada)
(Incorporation number BCO354545)
(Formerly Rockwell Ventures Inc.)
(South African registration number: 2007/031582/10)
Share code on the JSE Limited: RDI & ISIN: CA77434W1032
Share code on the TSX: RDI & CUSIP Number: 77434W103
Share code on the OTCBB: RDIAF
("Rockwell")
ROCKWELL COMPLETES $7.4 MILLION OF PREVIOUSLY ANNOUNCED FINANCINGS & APPOINTS
NEW DIRECTOR
January 6, 2010 - Vancouver, BC - Rockwell Diamonds Inc. ("Rockwell" or the
"Company") (TSX: RDI; JSE: RDI; OTCBB: RDIAF) announces that it has now
completed approximately $7.4 million of the planned $12.5 million of financings
announced December 2, 2009. The shares issued under this financing will be
subject to four month resale restricted periods from their issuance dates in
December 2009 and January 2010. The Company also intends to increase the
originally planned $12.5 million of financings by approximately $2.2 million,
and it has received Toronto Stock Exchange approval for such increase. The
Company expects to complete the remaining financings in January 2010.
The remaining portion of the Company`s recapitalization will be sought through a
rights offering planned for January 2010. Completion of at least $3.1 million of
this rights offering is guaranteed by another new principal investor, Daboll
Consultants who are associated with the Steinmetz Diamond Group.
APPOINTMENT OF NEW DIRECTOR
Together with completion of the initial part of the financing, Rockwell has
appointed Mr Yong Guo as a director of the Company. Mr Guo is the managing
partner of Godia Capital Partners ("Godia"), one of the first Chinese private
equity funds created to focus on investment opportunities in resource projects
in Africa. Mr Guo and his investment partners also have a sound knowledge of the
emerging Chinese diamond manufacturing sector and, over the past year, have done
an extensive assessment of mining opportunities in southern Africa. Mr Guo has
been involved in the successful launch and management of Omaha Capital China and
CMT China Value Partners, two venture capital funds focussed on early growth
investment opportunities in China. He is also the Vice President of Business
Development for ChinaEDU, Beijing, a leading on-line education company in China,
and iSoftStone Technology, Beijing, a successful IT outsourcing company in
China. Mr Guo holds a Bachelor of Computer Sciences from Southeast University,
Nanjing, China, and a Master of Computer Science from Syracuse University in the
USA.President and CEO John Bristow commented "We are pleased to have completed
the majority of our planned financing. These funds provide the basis on which
we can strengthen our balance sheet, modernize and re-commission the processing
plant at Wouterspan - the Company`s fourth operation which has been on care and
maintenance since January 2009, take advantage of increasing diamond prices, and
re-commence our growth plans. We welcome Mr Yong Guo to our board and look
forward to his assistance in tapping into the Chinese investment markets and
identifying opportunities in the rapidly expanding Chinese diamond manufacturing
and retail sector."For further details on Rockwell, please visit the Company`s
website at www.rockwelldiamonds.com or contact Investor Services at (604) 684-
6365 or within North America at 1-800-667-2114.
John Bristow
President and CEO
No regulatory authority has approved or disapproved the information contained in
this news release.
FORWARD LOOKING STATEMENTS
This release includes certain statements that may be deemed "forward-looking
statements" or "forward-looking information" (together, referred to as "forward-
looking statements"). Other than statements of historical fact, all statements
in this release that relate to the financing and rights offering are forward-
looking statements. Although Rockwell believes the expectations expressed in
such forward-looking statements are based on reasonable assumptions, such
statements are not guaranteed, and the terms and timing of the financing and
rights offering may differ materially from those in the forward-looking
statements. Factors that could cause actual results to differ materially from
those in forward-looking statements include the actions and approvals of
securities regulatory authorities, including the securities regulatory
authorities in each province and territory of Canada, the Toronto Stock Exchange
and the Johannesburg Stock Exchange, the availability of capital and financing,
and general economic, market or business conditions. Investors are cautioned
that any such statements are not guarantees and the actual terms of the
financing or rights offering may differ materially from those outlined in the
forward-looking statements.
Canada
6 January 2010
Sponsor
Sasfin Capital (a division of Sasfin Bank Limited)
Date: 06/01/2010 15:30:01 Produced by the JSE SENS Department.
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