The Irish Examiner reports that West African Diamonds (WAD) is about to finalize a merger which would increase the diamond exploration company’s market value from €3.3 million to €16.3 million and ramp up its annual production by an impressive 400%.

The pending deal, which is about to be signed with an unnamed, privately-owned diamond company in western Africa, actually constitutes a majority takeover of WAD. West African Diamonds’ existing management will reportedly retain only 25% of the enlarged company, but it will continue to manage the on-the-ground diamond production, while the new investors will take over corporate management.

Last week the diamond company reported a small increase in its full year losses for the 12 months ending in April – £246,465 as compared to £220,066 during the previous year. At that time, CEO John Teeling said that the company would expand through mergers and acquisitions, while continuing to develop its own reserves.

Now a new deal is believed to be close to completion. West African Diamonds is reportedly interested in attracting more institutional investors in order to continue the expansion of its diamond assets in Guinea and Sierra Leone, through acquisition. The diamond exploration company has also recently expanded capacity at its Bomboko diamond mine in Guinea.