Anglo American Plc has begun the formal process of selling its diamond unit, De Beers, drawing interest from former chief executives and global mining investors, people familiar with the matter said.
The move follows Anglo American’s broader restructuring strategy announced last month after fending off a £39 billion takeover bid from BHP Group. The company plans to divest non-core assets and focus on copper and iron ore.
Former De Beers CEOs Gareth Penny and Bruce Cleaver are among the interested parties, each reportedly leading separate investor groups exploring potential bids. Australian mining entrepreneur Michael O’Keeffe has also expressed interest in acquiring the business, sources said.
Anglo American, which holds an 85% stake in De Beers, has not officially confirmed bidders. The company has retained advisers to evaluate sale options and is expected to proceed with a direct sale rather than a demerger or initial public offering.
De Beers, once a dominant force in the global diamond market, has struggled with declining demand in major markets such as China and growing competition from lab-grown alternatives. In February, Anglo American wrote down De Beers' value by $2.9 billion, reducing the unit’s book value to approximately $4.9 billion.
Despite market pressures, analysts believe the De Beers brand retains long-term value. The company operates mining assets in Botswana, Namibia, South Africa, and Canada, and holds a 50-year legacy as a leading player in the global diamond trade.
The government of Botswana, which owns the remaining 15% stake in De Beers, has not commented on the sale process.
Anglo American Chief Executive Duncan Wanblad has said the company aims to simplify its portfolio and unlock greater shareholder value. The group is also planning to exit its platinum and coal businesses.
The sale of De Beers is expected to draw additional interest from private equity firms and global mining players. Bids are anticipated to be submitted in the coming months.
