Namibia Seeks Minority Share of De Beers – Report

Namibia is in talks to take a minority stake in De Beers, according to local media.

The southern African country’s cabinet has approved “in principle” participating alongside Angola and Botswana in an acquisition of shares in the diamond miner, the Namibian Sun reported last week.

Namibia is considering acquiring between 10% and 15% of the company at a cost of around NAD 9.8 billion to NAD 14.8 billion (around $570 million to $860 million), the newspaper said November 11.

“We are interested, but there remain concerns about our financial capacity to afford a stake,” it cited an unnamed official as saying. “We are talking to Angola and Botswana to join forces. All three countries recognize that none of them alone can secure a significant share” — although the Botswana government, which already owns 15% of De Beers, has expressed an intention to seek a majority stake in the famous company.

Angola initially wanted a minority stake but has since bid for the full 85% that mining conglomerate Anglo American currently owns. Anglo put De Beers up for sale last year.

“The idea is for the three countries to jointly own a majority in De Beers,” the Namibian Sun quoted the same Namibian official as saying.

Image: An employee at De Beers sightholder Almod Diamonds viewing a polished stone in Windhoek, Namibia. (Ben Perry/Armoury Films/De Beers)