Dominion Diamond Corporation and The Washington Companies will enter into an arrangement agreement.

A group connected to Washington will acquire all of Dominion’s outstanding common shares for $14.25 US per share in cash or a total equity value of approximately $1.2 billion US following a plan of arrangement  under the Canada Business Corporations Act.

The Board of Directors of Dominion has unanimously decided that it is in the best interests of the Company and recommends that Dominion’s shareholders vote in favour of the Arrangement:

Dominion also believes this transaction is an excellent outcome for the company’s stakeholders, including employees, community members and the Northwest Territories,” said Jim Gowans, Chair of the Board of Dominion Diamond Corporation. “The transaction allows the operation to take the next steps in mine development and ensures mining and its associated benefits continue in the North for decades to come.

Washington will be a responsible, long-term operator and builder of Dominion’s world-class assets, and plans to extend the mine life of Ekati for decades, consistent with the current development plan.