Diamond Mine Botswana Debswana

Botswana Vows to Safeguard De Beers Stake Amid Takeover Talks

Botswana’s President, Mokgweetsi Masisi, has affirmed his country’s commitment to safeguarding its 15% stake in De Beers amidst discussions of a potential takeover of its parent company, Anglo American, IDEX Online reports.

 

“The value of De Beers is fundamentally created by Botswana. Without Botswana De Beers doesn’t exist,” Masisi said at the US-Africa Business Summit in Dallas, Texas. He added that  no official approach has been made to Botswana regarding BHP’s $39 billion to acquire AngloAmerican.

 

De Beers, jointly owned by the Botswana government, operates Debswana, the world’s largest diamond producer by value. Should BHP proceed with the takeover, it is likely to divest De Beers, having exited the diamond business in 2013. Anglo had previously explored potential buyers for De Beers, including luxury houses and Gulf sovereign-wealth funds.

 

Under UK takeover rules, BHP has until May 22 to submit a formal bid or withdraw. If the BHP deal falls through, other potential bidders such as luxury goods conglomerates (e.g., LVMH, Hermes, or Richemont) or mining companies (e.g, Glencore or Rio Tinto) could come into play.

 

De Beers rough diamonds
De Beers rough diamonds’ sight

Other articles on the category

The branch news