Lephema Executive Transport Pty Ltd entered into a conditional binding sales and purchase agreement to acquire 70% stake in Mothae Diamonds (Pty) Limited from Lucapa Diamond Company Limited (ASX:LOM) for AUD 0.01 million on June 25, 2024. Under the Agreement, Lucapa will receive a nominal purchase price of AUD 0.01 million from Lephema Executive Transport Pty Ltd as well as approximately AUD 1 million from Mothae in outstanding technical services payments. Lephema Executive Transport Pty Ltd will assume all liabilities and guarantee obligations relating to Mothae currently held by Lucapa.

Following completion, Lucapa will continue to provide technical services to Mothae under the technical services agreement on normal commercial terms for a minimum of three months. Lucapa has received confirmation from the ASX that shareholder approval is not required under ASX Listing Rule 11.1 and 11.2 and as a result, the company will not seek shareholder approval for the transaction. Completion of the divestment is subject to the satisfaction of certain key conditions precedent receipt of consent from the Lesotho Minister of Natural Resources for the Transaction, execution of a Delegation Agreement between Lucapa, the Government and Executive whereby Lucapa assigns and delegates its rights and obligations in the mining agreement to executive confirmation from SAFDICO that the Offtake Agreement between the Mothae and SAFDICO remains valid following completion of the transaction, amendment of the technical services agreement between Lucapa and Mothae to incorporate a three month no fault cancellation provision and subject to satisfaction of the relevant conditions, completion is expected to occur on or before September 30, 2024.