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DiamondCorp raising up to £2M for working capital, reviewing board structure

DiamondCorp Plcis looking to raise up to £1.5 million to use for working capital purposes, withan overallotment option for an additional £500,000, it said July 7.

The company will undertake a placing and subscription of 24,851,673new ordinary shares at 6 British pence per share.

The overallotment allows the issue of up to a further 3,716,666shares.

DiamondCorp experienced constraints on its working capital asit incurred high breakdown and repair costs on its existing mining fleet, whilethe newly acquired trucks are being refurbished.

DiamondCorp has also started a review of its board and managementto deliver improved operational and financial control, it added.