Anglo ups De Beers stake

City A.M. Reporter
BOTSWANA said yesterday it had declined an option to lift its stake in diamond giant De Beers, leaving miner Anglo American with the full $5.1bn (£3.25bn) price tag for a buy-out of the remaining shares owned by the Oppenheimer family.

Anglo formally offered the Botswana government a pro-rata share of the Oppenheimer family’s 40 per cent stake under a long-standing pre-emption agreement.

But Botswana’s ministry of minerals said in a statement the price was too high, equal to about 10 per cent of the country’s gross domestic product,

First-half profit halved at De Beers as trade buyers were held back by a lack of funds.