South Africa Approves Anglo's Acquisition of Oppenheimer's De Beers Stake

(IDEX Online News) – Anglo American received the final approval required to acquire the Oppenheimer family’s 40 percent stake in De Beers. The approval brings the deal to Botswana's doorstep. It now needs to decide if it wants to exercise its right and increase its stake in the company to 25 percent.

The South African Minister of Mineral Resources gave Anglo American its approval to acquire Oppenheimer’s share in De Beers.

Now that all regulatory approvals have been granted, Anglo will make the formal offer to Oppenheimer's CHL Holdings Limited and the Government of Botswana (GRB) under the terms of the De Beers Shareholders’ Agreement.

Anglo currently holds a 40 percent stake in De Beers. If Botswana does not exercise its right, Anglo's share will increase to 85 percent. Last November Anglo agreed to pay the Oppenheimer's $5.1 billion in a cash transaction for their 40 percent stake.

Anglo said expects the transaction to close in the second half of 2012.