Peregrine Diamonds Announces Securityholder Approval of Arrangement with De Beers Canada

Peregrine Diamonds has announced that its securityholders voted at the special meeting held recently to approve the previously announced Plan of Arrangement pursuant to which De Beers Canada Inc. (“De Beers”) will, among other things, acquire all of the issued and outstanding common shares of Peregrine for cash consideration of $0.24 per share (the “Arrangement”).

The special resolution regarding the Arrangement was passed with approval by 98.35 per cent of votes cast by Peregrine shareholders at the Meeting in person or by proxy and by 98.5 per cent of votes cast by Peregrine shareholders, optionholders and warrantholders voting together as a single class at the Meeting in person or by proxy.

In addition, a special resolution to reduce the stated capital of the common shares of the Company so that the Company may use the arrangement provisions under the Canada Business Corporations Act was passed with approval by 98.3 per cent of votes cast by Peregrine shareholders at the Meeting in person or by proxy.

Peregrine expects to apply for a final order of the Supreme Court of British Columbia for approval of the Arrangement on September 10, 2018. Assuming the satisfaction or waiver of other customary closing conditions, the Arrangement is expected to close on or about September 12, 2018.

In July, De Beers had agreed to buy Canada’s Peregrine Diamonds, the company behind the Chidliak project in the Canadian territory of Nunavut.