Aber Diamond Rises on Report Rio May Sell Mine Stake
Aber Diamond Corp., owner of retail jeweler Harry Winston, rose the most in about 15 months on the Toronto Stock Exchange after a wire service reported the company may increase its stake in a Canadian diamond mine.
The shares rose C$2.65, or 6.6 percent, to C$42.79 at 4:10 p.m. in composite trading, the biggest gain since July 4, 2006. Toronto-based Aber's shares have risen 20 percent in the past year.
Aber, owner of 40 percent of the Diavik mine in the Northwest Territories, would be interested in buying the remaining 60 percent stake if Rio Tinto Plc (RIO) was willing to sell, the Canadian Press reported, citing Aber Chief Executive Officer Robert Gannicott. Gannicott said Toronto-based Aber had a first right of refusal on Rio's investment in the mine.
Australia's Herald Sun newspaper reported earlier this week that Rio may sell its diamond operations, including Diavik, as part of its planned takeover of Alcan Inc., citing unidentified people.
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