Post #574

🔵De Beers Buyers See Shrinking Prices🔵 🌐Diamond trader De Beers has been marked down again: the once-iconic company now costs just $2.3bn, with no less than 3 governments in line to buy it. 🔸Botswana, Namibia, and Angola's governments want equity in De Beers — however, the current value reduction once again proves that this may not be the best way to invest public funds. 🔸 While Botswana’s President Duma Boko seems to be determined to buy the company's controlling stake, their Angolan counterparts are more cautious, having quietly backed down their own majority stake ambitions. 💬Taking the majority stake within luxury commodities is very dangerous because it depends on the market... So to de-risk that, we have to have a portion that is sustainable for our economy. And that range is between 20% and 30%, we are happy about that, Paulo Tanganha, Angola's national director of mineral resources said in early February. ⏩ After all, the sad truth behind the talk of African governments buying a Western company that mines diamonds on their land — no one would have offered it to them if diamonds still brought profits to the current owners. With diamond prices sliding and lab-grown stones on the offensive, the aspiring buyers had better wait a little bit more and the company's current English owner will pay itself to dispose of it. ✈️ Stay informed - @devilsbelow