Botswana, De Beers Investor, Sees High Demand from Serious Buyers -

The government of Botswana has expressed hope that Anglo American Plc will find a buyer for its diamond division, De Beers, within this year. “We are quite optimistic that partners will emerge,” said Vice President Ndaba Gaolathe during an interview in Washington, without naming any specific potential investors. “Some are nations, others are funds, and some are companies with substantial interest. I am confident that we are heading in the right direction.”

Botswana owns a 15% stake in De Beers, which primarily sources its diamonds from the southern African nation. The rest of the stake belongs to Anglo, which is looking to divest its interest due to declining natural diamond prices, partly because of the increasing acceptance of lab-grown diamonds.

In February, Anglo further lowered De Beers’ valuation to around $4.1 billion. The London-listed company announced its plans to exit De Beers—whether through a trade sale or an initial public offering—in the second half of 2025.

Read:
De Beers and Botswana finalize marketing agreement to enhance the demand for natural diamonds.
Botswana discusses plans to increase its stake in De Beers.

Botswana, which relies heavily on diamonds for the majority of its exports and nearly a third of government revenue, has had a long-standing partnership with De Beers. In February, they signed a 10-year agreement to support a marketing campaign aimed at boosting demand for natural diamonds.

Gaolathe, who also serves as Botswana’s finance minister, stressed that the country desires a say in who acquires Anglo’s 85% stake. He expressed a preference for partners with considerable financial resources who are dedicated to the diamond industry for the long term.

“We seek partners who are not merely in it for quick profits,” he remarked. “Any entity interested in acquiring Anglo’s shares will be entering into a relationship with the government of Botswana. We take our relationships very seriously.”

He mentioned the potential for Botswana to increase its stake in De Beers to as much as 50%. “We will definitely not go below 15%,” he asserted.

The vice president, who was attending the International Monetary Fund-World Bank Spring Meetings in the US, also remarked that increased US tariffs on diamond imports could have negative repercussions.

“The US does not produce diamonds,” he pointed out. “Nonetheless, it has built a strong diamond and jewelry sector. This industry not only flourishes but also provides jobs for Americans. A sudden backlash against Botswana diamonds could harm the US more than it realizes.”

Read: Anglo seeks banks for potential De Beers IPO.

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