2009
Lucara Diamond Corp.
Acquisition by Plan of Arrangement
We acted as lead and corporate counsel to Lucara Diamond Corp. in respect of the acquisition, by Lucara, of all of the issued and outstanding shares of Motapa Diamonds Inc. By plan of arrangement, the shareholders of Motapa exchanged all of their Motapa shares for common shares of Lucara, on the basis of 0.9055 Lucara shares for each whole Motapa share. Lucara issued 34,455,022 Lucara shares under the arrangement. Based on the closing price of Lucara’s shares on April 30, 2009 the Lucara shares issued pursuant to the arrangement were valued at approximately $17.2 million. The transaction closed on July 3, 2009.
After the closing of the plan of arrangement, Lucara has a 100% interest in the Mothae Diamond Project in Lesotho, Africa. The Mothae Diamond Project will enter a trial mining stage following the recent completion of a highly successful bulk sampling program.