Battle for iconic South African company

Angola offered to buy a minority stake in De Beers in an attempt to keep one of the world’s biggest diamond companies independent, after Botswana said it’s seeking to take control of the firm. 

State-owned Angolan diamond company Endiama submitted a fully financed bid for a “strategic” stake in De Beers, a proposal that “does not seek majority control,” the Angolan Ministry of Mineral Resources, Petroleum and Gas said in a statement on Wednesday.

Anglo American is looking to divest its 85% stake in De Beers as part of a restructuring process that began 16 months ago. De Beers mines most of its gems in Botswana, which is seeking to take a majority stake in the company.

“Our bid is designed to foster a partnership in which Botswana, Namibia, South Africa and Angola all participate meaningfully — ensuring that no single party dominates,” Mineral Resources, Petroleum and Gas Minister Diamantino Pedro Azevedo said in the statement.

Angola is Africa’s leading diamond producer by value, with output last year surpassing Botswana’s production for the first time in two decades, according to the latest report by the Kimberly Process, an international certification program.

Endiama is prepared to work with governments and private investors to ensure De Beers “continues to operate an independent, globally competitive commercial enterprise,” the ministry said.

De Beers vies with Russia’s Alrosa PJSC to be the world’s largest producer of diamonds. Omani state-backed fund Maaden International Investment LLC acquired Alrosa’s stake in a diamond-mining venture in Angola 11 months ago.