Brussels - The European Commission said on Tuesday that it has
given global miner Anglo American [JSE:AGL] a green light to take control of De
Beers, the world's biggest diamond company.
The commission said it has given Anglo American
authorisation to proceed with a deal initially announced in November, under
which the miner is to buy 40% of De Beers from South Africa's Oppenheimer
family for $5.1bn.
The transaction will end the involvement of the Oppenheimer
family in De Beers, and take Anglo American's stake to up to 85%.
However, the government of Botswana owns the remaining 15%
of De Beers and has an option to lift this to 25%.
Established in 1888, De Beers is a global leader in the
exploration, mining and marketing of diamonds.
Finalisation of the deal is expected in the second half of
this year.