Bonas Group, a leading diamond and gemstone valuation and tender company, and DelGatto Diamond Finance Fund, a specialised lender to the diamond and gemstone industry, have announced a new partnership to offer a unique funding model for small and mid-sized miners in Southern Africa and beyond.
The new model allows miners to deliver their run-of-mine (ROM) diamond and gemstone productions to DelGatto’s or Bonas’ offices in Johannesburg or Dubai, where they will be valued, sorted, and prepared for sale by Bonas Group. The miners will then receive immediate funding from DelGatto based on the valuation, and the rough will be sold by Bonas Group’s tenders in Antwerp, Dubai, or Bangkok.
According to the companies, this is the first time in the industry that small and mid-sized miners will have the opportunity to access financing with a built-in sale structure and schedule, which will help them overcome the challenges of cash flow and market access. The model is based on the successful tripartite funding projects that Bonas Group and DelGatto have previously implemented in the natural diamond and coloured gemstone industries.
Charles Bonas, the CEO of Bonas Group, said: “This is the first time in our industry that small to midsized miners will have the ability to receive financing with a built-in sale structure and schedule. We are excited to bring this innovative solution to players at the top of the supply chain.”
Chris DelGatto, the CEO of DelGatto Diamond Finance Fund, said: “We are thrilled to be working with a best-in-class company like Bonas Group. Their history, reputation and knowledge in dealing with rough diamonds and gemstones is second to none. This is a big step for DelGatto as we continue to seek out of the box ways to fund an industry that is basically excluded from the traditional credit markets.”