Update on Finsch Business Rescue Process
Petra Diamonds Limited announced that creditors have approved a Business Plan for the Finsch Diamond Mine, which will involve selling off assets to recover maximum value as operations will not restart. A secured creditor has provided Post Commencement Funding to support limited activities, including asset reclamation, and any recovered funds will be distributed according to claim ranking, with the secured creditor's claims taking priority. A skeleton labour structure has been established for asset reclamation, and all employees will be treated under South African Labour Act provisions, with their claims against Finsch paid according to the ranking of claims.
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| 7 August 2026 | LSE: PDL |
Petra Diamonds Limited
(the "Company" or "Business")
Update on Finsch Business
Rescue Process
Further to the announcement made on 29 May 2026 in which we confirmed that Finsch Diamond Mine ("Finsch") had been placed into Business Rescue, and on 28 July 2026, where an update was provided on the progress to date, the Business Rescue Practitioners presented the proposed Business Plan ("the Plan") to the Finsch creditors on 07 August 2026 for voting. The Plan was adopted and therefore approved by the creditors with the relevant thresholds required to give the Business Rescue Practitioners the mandate to execute on the adopted Plan.
The salient points of the Plan that was approved by the creditors are as follows:
The Business Rescue Practitioners have not found a viable outcome to restart operations at Finsch.
The creditors have approved the Plan to sell off the assets of Finsch in order to recover the maximum amount of value possible for Finsch's creditors.
The secured creditor has provided some Post Commencement Funding ("PCF") to enable the continuation of limited activities on site and which includes the reclamation of assets.
Any monies recovered from the sale of assets under the approved Plan, will be distributed as per the ranking of claims, with the secured creditor's claims, including its PCF funding, ranking as the highest.
To support the sale of assets at Finsch, a skeleton labour structure for reclaiming of the assets for a defined period of time has been established, and they along with the remaining workforce at Finsch will be treated as per the provisions of S189 under the South African Labour Act, 66 of 1995. All employee claims under the S189 process will be treated as a claim against Finsch and will be paid out in accordance with the ranking of claims.
The Company will continue to update the market on material developments going forward.
MAR
Cullinan Mine
and Finsch in
South Africa. Finsch is currently under Business Rescue.
Petra is quoted on the Main Market of the London Stock Exchange under the ticker 'PDL'. The Company's loan notes, due in 2030, are listed on EuroNext Dublin (Irish Stock Exchange). For more information, visit
.
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Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.