BCP shoots down Botswana‘s planned De Beers takeover
Itumeleng Suping | Friday October 10, 2025 10:58
This concern follows President Duma Doko’s announcement to the world on CNN that by the end of October 2025, Botswana would have concluded a deal with Anglo American that would raise the country’s stake in De Beers to more than 50%.
Using Anglo American's attached book value of $4.1billion to De Beers, it is reported that, assuming this is Anglo’s pricing, Botswana will have to raise at least $1.476 billion, approximately P19.63 billion, to acquire an extra 36% of the shareholding in De Beers.
BCP spokesperson, Mpho Pheko, in a press release, argues that this needs to be further looked into. Pheko warns that the diamond industry is facing declining demand, rising costs, and competition from lab-grown diamonds. “Market trends suggest that natural diamonds are facing high levels of risk and uncertainty. A responsible government will not risk billions on de beers under current levels of industry risk and uncertainty,’’ she stated.
The BCP further criticised the deal as irresponsible, pointing to outgoing budget deficits, rising debt, and unpaid public obligations. BCP highlighted this as a state of fiscal recklessness, indicating that the state of the economy and the country’s fiscal position do not support the proposed transaction. “This means the economy will endure a second successive year of recession. It will push Botswana to the fiscal cliff.”
“To acquire the quantum of de Beer shares required for a controlling stake, Botswana will have to sacrifice the health and lives of its citizen and the education of their children. It will be comical, if not foolhardy, for a government that cannot buy medicines for its people and learning and teaching materials for its children to commit billions of pula to a speculative high-risk investment,’’ Pheko highlighted. Beyond economics, the BCP also raised legal concerns. Pheko said, “As of now, the President has not sought Parliament’s approval of the transaction, nor has it been given. The question is, from whence did he get the authority to commit Botswana to the acquisition of a controlling stake in De Beers? We oppose this transaction. The President has not made a business case for it. It is too risky and too costly. It has been subjected to no appraisal or due diligence. It is illegal. It could bankrupt the country or reduce Botswana to the ignoble role of a front for third parties, including unscrupulous profiteers,” Pheko emphasised.