Anglo American Pushes De Beers Exit Through Trade Sale or IPO Amid Signs of Diamond Market Recovery
Anglo American has reaffirmed its firm commitment to exiting its diamond business, De Beers, despite confidence in the brand’s long-term potential as global diamond markets begin to stabilise.
The company is actively pursuing two exit strategies: its preferred option—a trade sale—and a parallel plan for an initial public offering (IPO).
Both processes are being advanced simultaneously to ensure flexibility in delivering optimal value for shareholders.
“We are prioritising a trade sale, but only if we can secure the right buyer on the right terms,” said Anglo American CEO Duncan Wanblad during the company’s half-year financial results presentation. “Preparatory steps for a potential IPO are progressing in parallel should that become the preferred path.”
Anglo’s preference for a trade sale stems from the complexity of current shareholding structures and the challenging diamond market conditions in recent years.
Wanblad noted that a formal process is already underway, involving what Anglo describes as a “credible set of interested parties,” including the government of Botswana, which has expressed interest in increasing its stake in De Beers.
Diamond market conditions, while still uncertain, are showing early signs of stabilisation. “We’ve seen initial indications of market recovery over the past six months,” Wanblad added. “We remain laser-focused on optimising cash generation from De Beers while preserving the iconic brand value of the business.”
Anglo is confident that De Beers, with its world-class diamond assets and marketing strength, is well positioned to thrive as the market rebounds.
Wanblad emphasized that De Beers continues to play a critical role not only in Botswana but also in other operating regions, including South Africa.
In Limpopo province, South Africa, De Beers is investing heavily in the Venetia diamond mine’s underground expansion, which will extend the mine’s life beyond 2040.
The transition from open-pit to underground mining reflects a broader strategy of long-term value creation.
“Throughout this process, we’re engaging with all stakeholders, as expected,” Wanblad said. “De Beers still has some of the finest diamond assets and marketing capabilities in the world. We believe there’s significant upside potential with the right owners.”
The sales process has already moved into a formal first round, and Anglo anticipates entering the second round of discussions within the next month.
If a trade sale does not materialise, the company is prepared to proceed with an IPO. Stock exchanges under consideration for the listing include Johannesburg, London, and New York.
“An IPO would likely depend on continued improvement in market conditions, making it more feasible in early to mid-next year,” said Wanblad.
“But if the right trade sale consortium comes together, a deal could be completed within six to nine months.”
Despite market volatility, Anglo believes De Beers remains a compelling asset—one that will attract substantial interest whether through a strategic acquisition or public offering.
The company continues to monitor developments closely while ensuring that the transition supports long-term value creation.
