Vaaldiam Resources Ltd.

Vaaldiam Resources Ltd.

January 02, 2008 21:00 ET

Vaaldiam Acquires 87.1% of Great Western Diamonds Corp.

TORONTO, ONTARIO--(Marketwire - Jan. 2, 2008) -


Vaaldiam Resources Ltd. (TSX:VAA) ("Vaaldiam") and Great Western Diamonds Corp. (TSX VENTURE:GWD) ("Great Western") are pleased to announce that 82,416,248 common shares of Great Western representing approximately 87.1% of the common shares of Great Western have been validly tendered and taken up under Vaaldiam's offer to acquire all of the common shares of Great Western. When taken together with the 1,111,112 common shares and the 555,556 common share purchase warrants of Great Western that were held by Vaaldiam at the outset of the offer (representing 1.8% of the issued and outstanding common shares of Great Western), Vaaldiam now holds approximately 88.3% of Great Western's issued and outstanding common shares (assuming the exercise of the share purchase warrants held by Vaaldiam).

Under the Vaaldiam offer, holders of Great Western's common shares were offered 0.45 of a common share of Vaaldiam for every Great Western common share tendered. The aggregate number of Vaaldiam common shares to be issued will be approximately 37,087,312 in respect of the acquisition of the Great Western common shares taken-up.

As noted in the circular for the Great Western offer, Vaaldiam will immediately begin taking steps to acquire the remaining common shares of Great Western pursuant to a second stage transaction. Under the second stage transaction, the remaining holders of the Great Western common shares will also have the right to receive 0.45 of a common share of Vaaldiam for each Great Western common share.

Vaaldiam is South America's largest diamond producer through its 100% ownership in the Duas Barras and Chapada Mines in Brazil. Vaaldiam is also developing a number of advanced-stage kimberlite diamond deposits, including the Brauna deposits which are advancing towards a feasibility study later this year. Vaaldiam's principal office is located at 55 University Avenue, 11th Floor, Suite 1105, Toronto, Ontario, Canada M5J 2H7. For additional information regarding Vaaldiam please visit or contact Ken Johnson, President and Chief Executive Officer or Janet Reid, Manager Investor Relations at (416) 363-6927.

Forward Looking Information

This news release may contain forward looking statements, being statements which are not historical facts, including, without limitation, statements regarding the proposed acquisition of Great Western by Vaaldiam and discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from Vaaldiam's expectations are in Vaaldiam's documents filed from time to time with the Toronto Stock Exchange and provincial securities regulators, most of which are available at Vaaldiam disclaims any intention or obligation to revise or update such statements.

Contact Information

  • Vaaldiam Resources Ltd.
    Ken Johnson
    President and Chief Executive Officer
    (416) 363-6927
    Vaaldiam Resources Ltd.
    Janet Reid
    Manager Investor Relations
    (416) 363-6927