Botswana and consortium near deal to boost government stake in De Beers to about 25%
Botswana and the Global Diamond Consortium are close to agreeing on a structure that would lift the government's De Beers holding from 15% to roughly 25%, clearing a major obstacle to Anglo American's planned sale.
Anglo American’s 85% stake in De Beers is slated for sale, and negotiations with the Global Diamond Consortium are nearing a resolution that would increase Botswana’s ownership from 15% to roughly 25%. The consortium, headed by former De Beers CEO Gareth Penny, is also discussing allocations for Angola, Namibia and other private investors, ensuring that the three governments together would hold under 50% of the company.
Botswana’s Minister for State President Moeti Mohwasa previously noted the right of first refusal, while Vice President and Finance Minister Ndaba Gaolathe confirmed the government’s intent to own more than one outlet 15%. The move comes as Botswana faces tighter fiscal conditions, highlighted by Moody's downgrade to Baa2. Anglo American has been seeking a sale valued at about $1 billion, with performance-linked payments and a planned $500 million injection from the consortium.
De Beers contributes roughly 69% of Botswana’s rough-diamond output and the country co-owns Debswana, the primary diamond mining joint venture. Both parties aim to complete the transaction in the fourth quarter of 2026, though no binding agreement has been announced.
Why it matters
The deal could reshape ownership of the world’s leading diamond producer and affect Botswana’s fiscal outlook.
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