Govt to join negotiations for diamond giant
Botswana is expected to join negotiations along with other select short-listed bidders, as Anglo American moves to dispose of its 85 percent stake in De Beers.
This was confirmed by Anglo’s Chief Executive Officer (CEO), Duncan Wanblad earlier this month.
The government’s participation comes after President Duma Boko’s recent criticism of Anglo’s handling of De Beers, suggesting his administration could run the company more effectively.
Now, they might just get the chance – providing they can find the $5 billion (P67 billion) price tag Anglo has slapped on De Beers!
Although still an eye-watering figure, it represents a massive drop in valuation from the $7.6 billion Anglo estimated De Beers to be worth back in February last year.
In fact, given the high-profile recent struggles of natural diamonds, analysts believe the sale could go for as ‘little’ as $3 billion. That could spell good news for BW, if Boko, who is famed for his eloquent tongue, brings his A-Game to the negotiating table.
On the other side of the coin, with diamond sales in freefall and seemingly no guarantee that they will ever recover, such a huge purchase represents a risk.
Since May 2024, Anglo has sought to sell its stake in De Beers as the UK-based entity moves away from diamonds to focus on copper and iron.
However, a prolonged slump in the diamond market has complicated matters, with De Beers suffering a swing from profit to loss. The miner was rocked by losses of $189 million in the first half of 2025 compared to a $300 million profit over the same six-month period last year.
“This isn’t going to be the classical first round, second round sale process that you would expect for this type of business,” explained Wanblad, adding the sale process is anticipated to take up to six months
Additionally, the Anglo American boss did not rule out spinning off [A new, independent company is created, which often involves distributing the shares of the new company to the parent’s existing shareholders] De Beers if negotiations fail.
Anglo will hold direct talks with selected bidders alongside Botswana government, which already owns 15 percent of De Beers.
Angola’s state-owned Endiama has reportedly bid for a minority stake, proposing a pan-African consortium of diamond-producing nations to co-own De Beers.
The two companies have partnered since 2022, when they signed and later expanded exploration and processing agreements. Their collaboration led to Angola’s first major kimberlite discovery in more than 30 years this August.
Wanblad stressed Anglo was under no obligation to accept any offer but welcomed growing regional interest.
“It’s really positive news that the government of Angola has expressed an interest in taking some ownership. We are taking all of this into the mix and working through what’s best for the business, for Anglo, and for Botswana,” he assured the public.
De Beers is reported to have also drawn interest from at least six consortia, including billionaire Indian businessman, Anil Agarwal, Indian firms, KGK Group and Kapu Gems, and Qatari funds.
Besides Botswana, De Beers operates mines in South Africa, Namibia and Canada.
