Lucara announces special dividend of $172m

Shares of Vancouver’s Lucara Diamond Corp. (TSX:LUC) were halted July 19 following the company’s announcement that it would pay shareholders an unusually large one-time dividend.

The special $0.45 dividend works out to be a 13% gift, based on the company’s current $3.46 share price.

The payment is to be paid on September 15 to shareholders of record on September 2.

Lucara also pays regular $0.015 quarterly dividends.

“The payment of this dividend is consistent with the company's dividend policy providing for the payment of quarterly dividends and the payment, from time to time, of a special dividend based on revenues generated based on the company’s overall financial position and other factors existing at the time under consideration,” the company said in a release.

Despite being up substantially from its 52-week low share price of $1.42, Lucara shares have been sliding of late. The company’s 52-week high is $4.37.

Lucara is still trying to sell the second-largest diamond ever discovered.

The Lesedi La Rona diamond in June was put up for auction at Sotheby’s, where it was expected to fetch about US$70 million.

The highest bid was only US$61 million, which was lower than the minimum bid price. That bid, however, when combined with a 12% buyer's premium charge, would have been US$68.3 million, or the highest price ever paid for a diamond.

Earlier this year, Lucara sold a different large diamond, dubbed the Constellation, for US$63 million. That's the largest price ever paid for a rough diamond.

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