Global Emerging Markets Group (GEM) has emerged with a 78% shareholding in Sperrgebiet Diamond Mining after an equity transaction with founding Namibian shareholders, Lewcor Holdings and its minority partners, David Sheehama and MSF Commercials as part of a capital raising initiative.
The transaction, which has been approved by the Namibian Competition Commission and the Minister of Mines and Energy, has resulted in the GEM group subsidiary obtaining a 78% shareholding in SDM, with Namibian shareholders retaining 22% inclusive of an Employees Trust shareholding of 2%.
Although the value of the transaction was not disclosed, in Q4 2022, the company is gearing up to start-up operations at Elizabeth Bay diamond mine acquired by SDM in 2020 from Namdeb.
“The immediate next aim is to double production by mid-2023 by implementing an infield pre-treatment facility as the second phase. The company is amidst an aggressive recruitment drive, aiming to employ up to 180 people by the end of 2022, with a further increase during phase two.”
“The vision is to expand its footprint in these two sectors in Southern Africa and the larger continent in the longer term. Their current African investments include a majority shareholding in RioZim which is one of the biggest gold producers in Zimbabwe. RZM Murowa, which is one of the world’s leading diamond producers, is an affiliate of RioZim.”
The company also owns a base metal refinery and an energy business unit focused on generating green energy and minimising the carbon footprint of its mining operations.
SDM is a Namibian company that owns a combination of four onshore and offshore diamond mining licences in the restricted diamond areas around Luderitz, with its main land-based operation located at Elizabeth Bay mine.
