British mining company Anglo American has selected a winner in a competitive tender for the sale of an 85% stake in De Beers. The preferred bidder is Global Diamond Consortium, led by Gareth Penny — former CEO of De Beers and current head of an active asset manager. This was announced to Botswana's parliament on Friday by the country's Minister of Defence and Security Moeti Mhwasa — before any official announcement from Anglo American itself.
The fact that a Botswana government official, rather than London, confirmed the news first is no coincidence. Approximately 70% of De Beers' diamonds are mined in Botswana, whose government currently holds a 15% stake in the company and, according to Mhwasa, is now considering two options: joining the consortium as a partner or independently exercising its right of first refusal — possibly together with a third party.
"Anglo American conducted a competitive process involving three bidders and has since identified the winner — Global Diamond Consortium"
Moeti Mhwasa, Minister of Defence and Security of Botswana, in a parliamentary address
From six bidders to one
The sales process, announced back in May 2024, started with six potential buyers and gradually narrowed down. Anglo American set the formal deadline for submissions at April 16, 2026. Among those who bid for the asset were another former De Beers CEO Bruce Cleaver and Australian mining veteran Michael O'Keeffe. The victory went to Penny's consortium, which proposed bringing the governments of Angola and Namibia — the region's major diamond-producing states — into the deal structure. Mhwasa called this approach positive.
Why sell at all
De Beers recorded a loss of $511 million in 2025 — a sharp deterioration compared to a $25 million loss in 2024. The average realized diamond price fell by 7%, to $142 per carat. Anglo American has written down the company's value three times in three years. The crisis is fueled by several factors simultaneously: weak demand in China, growing popularity of lab-grown diamonds among younger buyers, and a general shift in consumer preferences.
The sale of De Beers is the final step in Anglo American's large-scale restructuring, which CEO Duncan Wanblad launched in 2024 after fending off an acquisition attempt by BHP Group. The company has already sold its coal and nickel assets and spun off its platinum division.
What remains open
- Anglo American has not officially confirmed the deal — all details are still coming through Botswana.
- The government has not disclosed the terms on which it could join the consortium or exercise its right of first refusal.
- Financial close on the deal is expected no earlier than the fourth quarter of 2026 — after government approvals.
The structure where Botswana, Angola, and Namibia become co-owners of De Beers through a regional consortium is effectively a transition from a colonial mining model to African control over the diamond value chain. But as long as Botswana publicly "considers its options" rather than signing the deal, one question remains: will the right of first refusal become a lever for better terms — or merely a rhetorical tool of pressure before an inevitable agreement?
