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Sep 19, 2017

​Dominion Diamond investors approve US$1.2B sale to Washington Cos.

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CALGARY - The president of Montana-based Washington Companies says it plans to keep the Canadian head office of Dominion Diamonds (DDC.TO) in Calgary after Dominion's shareholders voted to approve the US$1.2-billion sale.

Investors in the Northwest Territories diamond producer voted more than 99 per cent in favour of the deal announced in July.

They are to receive US$14.25 per share in cash when the acquisition closes, expected before the end of the year.

Washington Companies president Larry Simkins, in Calgary for the special meeting on Tuesday, says it wouldn't make sense to uproot the 100 employees of Dominion in Calgary after the head office was moved from Yellowknife earlier this year.

The sale gives Washington Companies a 100 per cent interest in the Ekati diamond mine and a 40 per cent stake in the Diavik diamond mine run by Rio Tinto, both in the Northwest Territories.

Simkins says his company will follow Dominion's plans to extend the life of the Ekati diamond mine and invest in exploration.
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