De Beers: Botswana Seeks Gulf Help to Buy Reduced Stake
June 08, 26
(IDEX Online) - Botswana is reportedly seeking financial help from UAE and Oman to buy a reduced stake in De Beers.
It had been aiming for overall control of the loss-making miner, but has scaled back its ambitions amid the worst downturn in the diamond industry's history.
"We are looking at reliable, trusted partners," President Duma Boko told Bloomberg News (on 5 June).
"The Omanis and the UAE have now claimed that spot. So any opportunity that comes whether in the diamond space or other, we will now be looking to engage with them."
Botswana currently owns 15% of De Beers through a long-standing partnership, and is now believed to be eyeing a 25% stake rather than the majority it originally wanted.
It is battling ongoing financing constraints, downgrades to its credit rating and competition from Angola, in addition to the general diamond market collapse and rising popularity of lab growns.
Anglo American is selling its 85% stake in De Beers as part of a sweeping restructuring, with a focus on copper and iron ore after fending off a $49 billion takeover attempt by BHP in 2024.
Meanwhile, in a separate development, Al Cook, CEO at De Beers, said a buyer for Anglo American's stake had been identified but wasn't yet being publicly named.
Speaking at JCK Las Vegas he acknowledged that three African governments - Botswana, Angola, and Namibia - had expressed interest in acquiring equity in the company.