List of Prospective Ekati Buyers: Harry Winston, KKR, Eira Thomas

(IDEX Online News) – In the moths that passed since BHP Billiton announced that it is considering selling its sole diamond mine, Ekati, rumors circulated as to who may an interested buyer.

According to a Bloomberg report published today (Thursday), a source said the list includes Harry Winston Diamond Corp and groups led by KKR & Co. and Apollo Global Management LLC. Apollo, according to the report, is working with Eira Thomas, formerly of Aber and Stornoway.

BHP Billiton holds 80 percent of the mine that is currently declining. The $1 billion price tag that first circulated seemed high, however the sources say the deal may close at much less - $500-$750 million.

Talk that De Beers or Anglo American may be interested has ended with Anglo's decision to double its holding in De Beers for $5.1 billion.

Alrosa, another leading diamond miner, may have also toyed with the idea, however it is not suffering from a wealth of resources in Russia, and dealing with Canada's heavy regulations may be a turn off.

Harry Winston is enjoying a surge in income, however it still needs to keep a close eye on its line of credit and debts, making it a less than likely buyer, despite the reports. In addition, it already owns a well-mined diamond resource, and more likely to look for younger mines than older ones.

This leaves the field to investment firms such as Apollo and KKR.