Anglo American has written down the book value of De Beers for the third consecutive year, slashing it from $4.1bn to $2.3bn — a 44% reduction — as the diamond miner reported a catastrophic swing from a $25m EBITDA profit in 2024 to a $511m loss in 2025. This impairment brings the cumulative destruction of De Beers’ book value to approximately $6.9bn since 2023, when it stood at $9.2bn.

The deterioration reflects a convergence of structural and cyclical pressures: weak consumer demand, falling rough diamond prices, inventory overhang, growing competition from lab-grown diamonds, and the headwinds of US tariffs on Indian exports — the world’s primary diamond cutting and polishing hub. Anglo American’s CEO Duncan Wanblad has confirmed De Beers is in advanced sale discussions, with the possibility of a staged divestment in two or three tranches.

A central paradox defines De Beers’ 2025 results: revenue grew 6% to $3.5bn, yet the business collapsed into deep loss. This disconnect is explained by the composition of sales. Sales volumes surged 17% to 20.9m carats as the company executed stock rebalancing initiatives — essentially clearing accumulated high-cost inventory at sharply discounted prices. The average per-carat realised price fell 7% from $152 to $142, reflecting both weaker market prices and the deliberate sale of lower-quality, lower-value stones.

The stock rebalancing programme alone generated $424m in trading losses, as diamonds acquired and cut at higher cost were sold at prices below their carrying value. This single line item accounts for the overwhelming majority of the $536m swing in EBITDA.

Anglo American CEO Duncan Wanblad confirmed in the February 2026 earnings call that the company is in advanced discussions with a select group of interested parties regarding the sale of De Beers. This follows Anglo’s strategic decision to simplify its portfolio by divesting non-core assets, a process accelerated by a hostile takeover approach from BHP in 2024.

Wanblad’s indication that the sale may occur in two or three tranches — rather than a single transaction — is significant. A staged divestment could reflect:
• difficulty in finding a single buyer willing to take the full stake at an acceptable valuation
• a desire to maximise aggregate proceeds by selling to different buyers with different strategic motivations
• regulatory constraints in relevant jurisdictions

With the book value now at $2.3bn and the business generating a $511m EBITDA loss, prospective buyers face the challenge of pricing an asset through the trough of a cycle in a structurally disrupted sector. Potential buyers may include:

• Sovereign wealth funds seeking long-duration commodity exposure
• Private equity consortia with a turnaround thesis
• Industry consolidators, potentially including Government of Botswana (which holds a 15% stake) or luxury conglomerates
• Strategic investors from emerging market diamond consumer nations