LONDON, Nov 9 – Botswana plans to increase its stake in diamond producer De Beers from 15% to 30%, while backing the Global Diamond Consortium as its preferred bidder for Anglo American’s 85% holding in the company.
President Duma Boko announced the decision in a speech to parliament on Monday, saying the increase would make Botswana the single largest shareholder in De Beers.
“Botswana’s shareholding in De Beers will double from the current 15%. Botswana will become the single largest shareholder in De Beers,” Boko said.
He added that the government had selected the Global Diamond Consortium as its preferred bidder for Anglo American’s interest in the diamond business.
“(Botswana’s) government has selected the Global Diamond Consortium as its preferred bidder for Anglo American’s interest in De Beers.”
Boko also said the governments of Namibia and Angola would participate in the proposed transaction.
The development represents a significant step in efforts to restructure ownership of De Beers, whose operations and exploration activities span Botswana, Namibia, Angola, South Africa and Canada. The company has long been central to Botswana’s economy, with diamond production playing a major role in government revenues and exports.
The Global Diamond Consortium is led by former De Beers Chief Executive Gareth Penny. Its proposed acquisition is intended to facilitate Anglo American’s exit from the diamond producer, following the mining group’s decision to put its 85% stake up for sale in 2024.
Botswana’s agreement to increase its existing holding is a key component of the proposed transaction. The participation of Namibia and Angola would also bring other diamond-producing countries into the ownership structure, although the precise terms of their involvement have not been disclosed.
Anglo American seeks exit amid diamond market pressures
Anglo American initiated the sale of De Beers in 2024 as part of a broader corporate restructuring. The decision came amid falling diamond prices and growing competition from laboratory-grown stones, which have placed pressure on the natural diamond market.
The sale attracted interest from governments in Botswana and Angola, alongside private investors and potential strategic partners. Luxury group Richemont, the owner of Cartier, was also among the companies reported to have held discussions about joining a consortium bidding for the business.
For Botswana, increasing its ownership would strengthen its influence over a company that has been closely tied to the country’s economic development. The proposed transaction also reflects a broader effort by African diamond-producing nations to secure greater participation in the ownership and commercial value of their mineral resources.
However, the announcement identifies the Global Diamond Consortium as the preferred bidder rather than confirming completion of a sale. The final ownership structure will depend on the outcome of negotiations, financing arrangements and the relevant transaction approvals.
