LONDON--BHP Billiton PLC (BLT.LN) said Tuesday it agreed to sell
its diamonds business, comprising its interests in the EKATI
Diamond Mine in Canada and Diamonds Marketing operations, to Harry
Winston Diamond Mines Ltd. for 500 million dollars in cash, saying
the divestment is consistent with the company's focus on long-life,
low-cost upstream assets and reflects its pursuit of a simpler
business.
MAIN FACTS:
-Completion expected in 1Q13
-All BHP Billiton employees working at EKATI, in Yellowknife and
in Diamonds Marketing in Antwerp will become employees of Harry
Winston as part of the transaction.
-The divestment of EKATI will result in an impairment of $200
million (post tax) to the carrying value of the asset which will be
reflected as an exceptional item in BHP Billiton's financial
results.
-Shares at 1422 GMT down 25 pence or 1.3% in London at 1,925
pence valuing the company at GBP40.7 billion.
-Write to Ed Ballard at ed.ballard@dowjones.com