Anglo American Writes Down De Beers by $2.9 Billion Amid Market Challenges

Anglo American has reduced the value of its diamond subsidiary, De Beers, by $2.9 billion, marking the second consecutive year of such writedowns. This adjustment reflects ongoing challenges in the diamond industry, including the rise of lab-grown diamonds and decreased consumer spending in China. Consequently, Anglo American reported a net loss of $3.1 billion in 2024, a significant decline from the previous year’s profit. CEO Duncan Wanblad acknowledged the difficult market conditions and indicated that plans to spin off De Beers might be postponed to later in the year. The company aims to focus on more profitable operations, such as copper and iron ore mining, to strengthen its financial position.

Source: The Guardian