Anglo American, led by South Africa’s Duncan Wanblad, plans to list De Beers

Key Points

• The mining giant is exploring a listing or sale of De Beers as part of its strategic shift away from diamonds.
• Weak demand and lab-grown competition forced Anglo to take a $2.9 billion impairment on its once-prized diamond business.
• Anglo-American’s CEO is weighing market conditions carefully, delaying any sale or listing until at least the second half of 2025.

Anglo-American, a diversified global mining giant led by South African businessman Duncan Wanblad, is exploring a potential listing of its diamond business, De Beers, as part of its broader strategic overhaul. The company which acquired the diamond business from the Oppenheimer family over a decade ago has engaged major banks to assess the feasibility of an IPO while simultaneously seeking buyers for the storied diamond unit.

The move signals the final phase of Anglo’s sweeping restructuring, which has seen the company divest from coal and nickel, preparing to exit platinum. Selling or listing De Beers would mark a historic shift, effectively ending Anglo American’s century-old association with diamonds.

De Beers’ decline: From strategic asset to loss-making venture

Anglo-American gained full control of De Beers in 2011 by acquiring the Oppenheimer family’s remaining 40 percent stake for $5.1 billion, ending their 80-year dominance. At the time, the deal was framed as a long-term bet on the enduring value of natural diamonds. However, the market has since turned against the business.

A combination of weaker demand—particularly from China—and rising competition from lab-grown diamonds has eroded De Beers’ profitability in recent years. Anglo-American recently took a $2.9 billion impairment charge on the unit, following a $1.6 billion writedown in 2023. The steep markdowns underscore the challenges facing the diamond industry, which is experiencing its worst downturn in decades.

Strategic pivot: Wanblad’s calculated exit

Under Wanblad, Anglo-American has sought to streamline its portfolio, focusing on high-growth commodities such as copper and lithium. But despite growing pressure to offload De Beers, the CEO has made clear that Anglo will not rush a sale or listing under unfavorable conditions. “We remain committed to a disciplined approach,” Wanblad said in February, signaling that a resolution is unlikely before the second half of 2025.

The dual-track strategy—seeking a buyer while preparing for an IPO—reflects both market uncertainty and the challenge of finding a suitor willing to take on De Beers at an acceptable valuation. While an IPO would allow Anglo to gradually reduce its exposure to diamonds, it also carries risks, given the industry’s prolonged downturn.

End of an era for Anglo-American’s diamond unit

Anglo-American diamond business, De Beers, founded in 1888, has long been a cornerstone of the global diamond trade, with operations spanning Botswana, Namibia, South Africa and Canada. Its historic role in shaping the industry, from controlling supply to establishing the “A Diamond is Forever” marketing campaign, has made it one of the most iconic names in luxury commodities.However, Anglo’s planned exit marks the end of one of the most storied corporate partnerships in mining. Whether the move ultimately maximizes shareholder value or leaves Anglo American exposed to a potential diamond market rebound remains an open question.