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Anglo American is pushing ahead with plans to divest its stake in De Beers, despite growing confidence in the diamond giant’s potential to rebound strongly as global markets recover. The diversified mining group has confirmed that two exit options are being pursued, a preferred trade sale and alternatively, an initial public offering (IPO). Both routes are being advanced simultaneously, but Anglo has made clear its preference for a trade sale due to the complexity of existing shareholding agreements and the rough diamond market’s prolonged downturn.
“We are in a formal process with a credible set of interested parties and we’re also engaging with the government of Botswana, given its interest in increasing its stake in De Beers. A trade sale absolutely remains our preferred exit route for the business but only if we can find the right buyer on the right terms,” said Anglo American CEO Duncan Wanblad during the group’s half-year financial results presentation.
At the same time, Anglo is laying the groundwork for a possible IPO should market conditions or shareholder preferences make that the more viable option. “We’re progressing preparatory activities for a capital markets process, should that become the preferred route for our shareholders,” noted Wanblad.
After a turbulent period for the diamond industry, the past six months have shown early signs of stabilisation. Wanblad emphasised Anglo’s focus on managing De Beers to optimise cash flow while preserving its legacy and global brand value. “De Beers is such an important company to the country of Botswana and indeed to the other countries where it operates,” said Wanblad.
Among its key assets is the Venetia mine in South Africa’s Limpopo province, De Beers’ largest diamond operation in the country which is undergoing a significant underground expansion set to extend its life beyond 2040. This investment includes technological upgrades to support its transition from an opencast to an underground mine. “Throughout the process, we’re engaging with all stakeholders on pathways forward, as you would expect us to do,” said Wanblad.
Despite recent volatility in diamond demand, Wanblad believes De Beers remains uniquely positioned to bounce back. He further noted, “With some of the best diamond resources and marketing capabilities in the world, De Beers is well placed to thrive as the market recovers. We continue to believe strongly that there is significant upside potential in this business for the right combination of owners.”
Interest from potential trade-sale buyers is described as “very credible,” though Wanblad acknowledged that timing and the right offer are critical. “It’s still a business with some fantastic assets. But a trade sale must involve the right group of buyers and provide the right value for our shareholders. If that doesn’t come together, we’ll keep our options open and continue IPO preparations in parallel,” added Wanblad.
He confirmed that Anglo is already in the first round of formal sale talks and expects to enter the second round within a month. Should an IPO become the chosen route, listing options under consideration include the London, Johannesburg and New York stock exchanges.
Looking ahead, Wanblad projected that a successful trade sale could conclude within six to nine months. If the IPO option is selected, however, it would likely take place in early to mid-2026, depending on broader market conditions. “We haven’t made a final decision, but it’s a very special business and I think we’d attract enormous interest from the right types of shareholders,” concluded Wanblad.
