Miner Gemfields snaps up luxury jeweller Faberge

EMERALD miner Gemfields is to buy luxury jeweller Fabergé in a deal that values the iconic egg maker at $142m (£89m), it said yesterday.

Fabergé, famous for its jewelled eggs, is being sold by Pallinghurst, which is headed by former BHP Billiton executive Brian Gilbertson, who will retain a 49.3 per cent stake in the combined group.

With the acquisition, AIM-listed Gemfields wants to position itself as a leading coloured gemstone miner and “global iconic luxury brand”.

The precious stone miner will issue up to 214m shares as consideration for the deal, which will be paid to Fabergé shareholders in proportion to their holdings in the company.

Gemfields is being co-advised by JP Morgan Cazenove, with Neil Passmore and Jamie Riddell part of the team from the bank. Passmore has previously held roles on the Glencore and Xstrata deal, as well as with London Mining and Ophir Energy. Canaccord Genuity is joint financial adviser, with Tarica Mpinga and Andrew Chubb leading the team from the group.