Debswana Diamond Sells Half of Stake in Anglo American

Debswana Diamond, jointly owned by Botswana's government and De Beers, sold half its stake in Anglo American in a transaction valued at £87.2 million, media reports said.

Merrill Lynch sold 6.87 million shares of London-based Anglo at £12.70 each to investors on behalf of Debswana, which held 13.7 million Anglo shares as of February 27.

“The Botswana government says it doesn't intend to sell the other half of its stake,” said Kate Aindow, a spokesperson for Anglo in London. She declined to comment further.

Spokespeople for Merrill and Debswana declined to comment.

This is the second time in less than three years that Debswana is cutting its holdings in Anglo. In December 2001 Debswana decreases it holding in the mining company from 18.3 million shares to 13.7 million.