A consortium headed by former De Beers Chief Executive Gareth Penny has reportedly become the frontrunner to acquire De Beers from mining giant Anglo American, according to a report by the Financial Times.
The report, citing Botswana’s Minister for State and Defence Moeti Mohwasa, said Anglo American has identified the Global Diamond Consortium as its preferred bidder, indicating that negotiations may be entering their final stages.
While Anglo American did not confirm the claim, the company stated that it is continuing a competitive sale process involving several interested parties. Gareth Penny also declined to comment on the reported development.
Botswana, which is responsible for nearly 70% of De Beers’ diamond production and holds a 15% ownership stake in the company, is carrying out an independent valuation before deciding its position in the proposed transaction. According to Mohwasa, the consortium’s plan also includes potential participation from Angola and Namibia, reflecting a broader regional partnership.
The potential acquisition comes at a challenging time for the global natural diamond industry. Demand has remained subdued, particularly in the Chinese market, while the rapid growth of lab-grown diamonds and a prolonged decline in rough diamond prices have added pressure on traditional producers.
Anglo American announced its intention to divest De Beers as part of a broader corporate restructuring strategy aimed at streamlining its portfolio and focusing on core mining operations. If the deal progresses, it could mark one of the most significant ownership changes in the diamond industry’s modern history and reshape the future direction of the iconic diamond company.
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