Namibia Considers De Beers Stake as Diamond Prices Decline and Industry Faces Challenges
Namibia will carefully assess whether to acquire a stake in De Beers as the global diamond market faces a prolonged slump, local media reported on Monday, citing the country’s Deputy Prime Minister.
Anglo American, De Beers’ parent company, announced on September 9 that it is selling the diamond giant as part of a portfolio restructuring to focus on copper and iron ore. Anglo is pursuing a merger with Canada’s Teck Resources to form a copper industry leader.
By June 2025, De Beers had attracted interest from at least six potential investors. Angola’s state diamond company, Endiama, confirmed on September 24 that it had submitted a bid for a minority stake.
Angola advocates for a broad ownership structure for De Beers, involving Botswana, South Africa, and Namibia — all countries where the company operates.
Namibia and De Beers each hold a 50% stake in Namdeb Holdings, which produced 2.2 million carats of rough diamonds in 2024 — about 9% of De Beers’ total output that year.
Deputy Prime Minister Natangwe Ithete, who oversees mines, told financial news outlet The Brief that Namibia must carefully evaluate the diamond sector, given declining demand and competition from synthetic diamonds.
“To be honest, the diamond industry is going down. It is not a secret that the industry is under pressure and affected by the so-called lab-grown diamonds,” Ithete said.
“This is something we need to study very carefully to determine whether it is worth pursuing or not.”
Neighbouring Botswana, which holds a 15% stake in De Beers, is also seeking a controlling interest in the company.
Anglo American values De Beers at about $4.9 billion, following $3.5 billion in impairments over the past two years. However, current market pressures could drive valuations lower, potentially affecting investor interest.
