Gareth Penny leads bid to buy De Beers as Anglo-American pushes sale amid market slump
Former De Beers CEO Gareth Penny is leading a consortium that currently holds the top position in the bidding process to acquire De Beers, the world’s largest diamond miner, according to people familiar with the matter speaking to Bloomberg. Anglo-American Plc is advancing plans to sell De Beers as part of a broader restructuring after fending off a takeover approach from BHP in 2024. The sale has been delayed by a prolonged downturn in the global diamond market and Botswana’s 15% stake, with President Duma Boko expressing interest in increasing the country’s control, possibly to majority ownership. Penny’s consortium, backed by several major diamond trading houses, aims to refocus De Beers on mining and marketing natural diamonds. A rival group led by Israeli trader Nir Livnat of Diacore remains in contention but has struggled to secure financing from Middle Eastern investors amid regional instability linked to the Iran conflict. Initial binding offers were due in mid‑April, but Anglo extended the deadline to allow bidders more time to raise funds. Penny previously ran De Beers from 2005 to 2010, guiding it through the 2008‑09 financial crisis with mine closures, production cuts and a $1 billion rights issue. While his experience is seen as an advantage, Botswana’s stance and ongoing market weakness mean the deal is far from certain. For Nigerian jewelers and investors, the outcome could influence diamond supply and pricing in the local market. Will a Penny‑led De Beers bring more stability to diamond prices, or should they prepare for potential shifts in ownership and strategy?