| Fri 26 Mar 2010, 16:32 | | RDI - Rockwell Diamonds Incorporated - Rockwell announces completion of highly |
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RDI
RDI
RDI - Rockwell Diamonds Incorporated - Rockwell announces completion of highly
successful rights offering
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 ANNOUNCES COMPLETION OF HIGHLY SUCCESSFUL RIGHTS OFFERING
March 24, 2010 - Vancouver, BC. - Rockwell Diamonds Inc. ("Rockwell" or the
"Company") (TSX: RDI; JSE: RDI; OTCBB: RDIAF) announces that the previously
announced rights offering has successfully completed with 100% of the offered
rights being subscribed for.
Shareholders are advised that the final basis of allocation from the Transfer
Agents is still pending, whereafter a further announcement will be released
advising on the final basis of allocation of the rights offering shares.
Pursuant to the rights offering, Rockwell will issue 92.7 million common
shares at a subscription price of C$0.05 per Common Share yielding gross
proceeds of approximately C$4.6 million (ZAR 33.2 million). Pursuant to the
rights offering a small number of other investors will purchase from the
Company approximately 57 million shares at a price of $0.065 per share,
raising a further C$3.7 million (ZAR 26.6 million) Rockwell now has an issued
capital of approximately 520 million shares. This concludes the initial steps
of the Company`s previously announced plans to recapitalize the balance
sheet, modernize and re-comission the Wouterspan operation which was placed on
care and maintenance in January 2009, and identify value add merger and
acquisition targets such as the recently announced Etruscan acquisition. The
rights offering comprised the final part of a process which resulted in
approximately C$16.9 million (before costs) being raised through a combination
of private placement and rights offering.
John Bristow, CEO commented "The Board is most encouraged by the support shown
by the Company`s shareholders to the extent that it was oversubscribed. This
is another step in the Company`s strategy to become a leading alluvial
gemstone miner through growth and acquisition with support from our existing
and new strategic shareholders. With the planned re-commissioning of
Wouterspan and proposed acquisition of Etruscan`s Blue Gum diamond project,
Rockwell is poised for significant near term growth."
For further details on Rockwell Diamonds Inc., 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.
Johannesburg
26 March 2010
Sponsor
Safin Capital (a division of Sasfin Bank Limited)
Date: 26/03/2010 16:32:01 Produced by the JSE SENS Department.
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