Anglo American Group takes another $2.3 billion impairment charge on De Beers diamond business

Anglo American has taken a $2.3 billion impairment charge on its De Beers diamond business, marking its third writedown in three years. The current challenging market environment has complicated its plans to sell the division.

The London-listed mining company had warned earlier this month that it was assessing the business and might record an impairment. In 2025, the De Beers division posted a core operating loss of around $500 million.

The rise of cheaper lab-grown diamonds has diminished the prestige of this legendary diamond division. Diamond jewelry retailers are increasingly adopting synthetic diamonds, especially in products such as engagement rings.

In February last year, Anglo American had already taken a $2.9 billion impairment charge on De Beers, followed by a $1.6 billion charge in 2024.

After fending off an approximately $50 billion hostile takeover bid from BHP in 2024, the miner has been simplifying its business by divesting divisions and focusing on iron ore and copper. In September, it agreed to merge with Canada’s Teck Resources, with the new group set to focus on copper operations.

The rise of lab-grown diamonds has impacted De Beers’ sales—De Beers’ famous 1947 slogan, “A Diamond is Forever,” once greatly enhanced the appeal of diamond rings. Weakness in the industrial diamond market has further exacerbated the division’s predicament.

The company said on Friday that the De Beers spinoff is still progressing, with priority given to selling the business. CEO Duncan Wanblad said discussions with interested parties are ongoing and he is optimistic about reaching a sale agreement by 2026.

Amid this impairment, the company recorded core EBITDA of $6.4 billion last year and $6.3 billion in 2024; the full-year net loss was $3.7 billion, including a $2.3 billion pre-tax impairment loss from De Beers.

Editor: He Yun