Angola bids for majority stake in De Beers, source says

Angola has bid for a majority stake in Anglo American‘s unit De Beers, a source familiar with the matter told Reuters on Friday, setting up a potential standoff with neighbouring Botswana, which also wants to take control of De Beers.

The company is one of the world’s leading diamond companies, with operations spanning Botswana, Namibia, Angola, South Africa and Canada. It has been put up for sale by Anglo amid falling diamond prices and had attracted interest from at least six consortia, according to a Reuters report in June.

The source said Angola’s state-owned diamond company Endiama had submitted the offer for a majority stake in De Beers, confirming a report by Bloomberg News.

Botswana, which currently owns 15% of De Beers, considers the company a strategic national asset, despite the slump in global diamond prices, which has badly hurt its economy. Its mining minister said in July that the Southern African country wanted to take full control of De Beers.

Angola had said in September that it was seeking a minority stake in De Beers and thought it should be led by a private-sector firm.