Angola Bids for Majority Share of De Beers

Angola has placed a bid to purchase Anglo American’s 85% stake in De Beers, according to a Bloomberg report.

José Manuel Ganga Júnior, CEO of Endiama, Angola’s state-owned diamond company, told Bloomberg that Endiama has submitted “a concrete and well-defined proposal” to Anglo American, which put its majority stake in De Beers up for sale last year.

De Beers does not currently have any mining operations in Angola, but it recently announced it had discovered a new kimberlite field in the country, working in concert with Endiama.

Ganga Júnior told Bloomberg that gaining access to De Beers’ mining technology and marketing network will allow Angola “to take bigger leaps forward.”

Angola’s bid could put it at loggerheads with Botswana, which owns 15% of De Beers. Botswana president Duma Boko has repeatedly said that he believes Botswana—De Beers’ primary partner—should become the majority owner of the company, although it is not clear if the country has submitted a bid.

Ganga Júnior said in the Bloomberg article that Angola expects to “reach an understanding” with Botswana, as De Beers is “such a large business that we believe there is room for several partners.”

Angola had previously suggested it might take a minority position in De Beers, as part of a consortium with other diamond producers.

An Endiama spokesperson declined comment, given the ongoing negotiations.

(Photo courtesy of De Beers)