Botswana says it’s in talks about increasing stake in De Beers
Botswana said it’s in talks over increasing its shareholding in De Beers, as Anglo American prepares to end its almost century-long relationship with the iconic diamond producer.
As part of a turnaround plan to fend off an approach from BHP Group, Anglo last month said it planned to sell or separate De Beers, in which it holds an 85% stake. The remainder is owned by Botswana, the southern African nation that holds the company’s biggest diamond mines.
“We are going to increase the shares that we have in De Beers,” Botswana President Mokgweetsi Masisi told a political rally in Palapye, about 300 km north of the capital Gaborone.
The government would also play a central role in selecting a new investor to replace Anglo at De Beers, according to the president. It would require an investor prepared for the cyclical nature of the diamond business, he said.
That volatility created frustration within Anglo, where De Beers’s erratic performance eroded returns from more coveted commodities, such as copper. Last year, the business made just $72-million, though traditionally its profits have ranged between $500-million and $1.5-billion as the diamond industry swings from boom to bust.
De Beers CEO Al Cook is targeting annual core profit of $1.5-billion by 2028, as he overhauls the business. That reset includes renewing the company’s focus on promoting natural stones — and ditching a venture into lab-grown gems — while expanding its retail footprint through its own jewelry stores.
The company will also dip its toe into polishing its own stones, part of the industry dominated by mostly family run firms in India and Belgium.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
ENVASS is a customer and solutions-driven environmental consultancy with established divisions, serviced by highly qualified and experienced...
VISIT SHOWROOM
For over 60 years, VEGA has provided industry-leading products for the measurement of level, density, weight and pressure. As the inventor of the...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
