Hi Vargas, Good diamond producers will soon be in great demand.
Wednesday February 21, 2:27 am Eastern Time
Oppenheimer defends Anglo takeover bid for De Beers
JOHANNESBURG, Feb 21 (Reuters) - Diamond giant De Beers chairman Nicky Oppenheimer on Wednesday defended the planned multi-billion dollar takeover of his group by Anglo American (quote from Yahoo! UK & Ireland: AAL.L), saying the deal held more benefits than harm for South Africa.
In an article published in the Business Day newspaper, Oppenheimer said De Beers' would stay rooted in the southern African country despite its proposed delisting from the Johannesburg bourse.
``I cannot state this more clearly or categorically -- De Beer's proposed departure from the JSE does not, and will not, presage or involve its departure from South Africa,'' he wrote.
``To suggest otherwise is to go beyond understandable expressions of regret over the loss of a bellwether stock and indulge in baseless speculation whose effect will be to mislead and misinform the public,'' he added.
He was refering to local news reports that the takeover by a consortium led by Anglo American and the Oppenheimer family would lead to De Beers cutting jobs and bailing out of the country.
Last week, the consortium bid $17.6 billion for De Beers in a deal which would take the Johannesburg-listed gem firm private and end a series of investor unfriendly crossholdings between Anglo American and De Beers.
The bid valued De Beers at $43.17 a share.
``The purpose of these investments is to ensure South Africa maintains its position among the leading diamond producers in the world and to create jobs and wealth for the country,'' Oppenheimer said.
``The suggestion that De Beers is about to do a disguised corporate flit also, however, ignores the role the company plays and will continue to play in the South African economy,'' he added.
And I hope Serge does not plan on giving REX a bath.
Friday February 16, 7:43 am Eastern Time
Nicky Oppenheimer hit De Beers in bathtime eureka
JOHANNESBURG, Feb 16 (Reuters) - De Beers Chairman Nicky Oppenheimer first came up with the multi-billion dollar plan to get his wealthy family and mining giant Anglo American (quote from Yahoo! UK & Ireland: AAL.L) to take De Beers private while having a bath, he was quoted as saying on Friday.
``The strategy came to me when I was in the bath and when I couldn't sleep at night,'' the Business Report daily reported Oppenheimer as saying.
Oppenheimer and an Anglo-led consortium bid $17.6 billion on Thursday for diamond king De Beers which would take the Johannesburg-listed firm private and end a series of investor unfriendly crossholding between Anglo and De Beers.
The deal was finally sealed during a secret meeting between Nicky Oppenheimer, the head of Anglo American Tony Trahar and South African President Thabo during the World Economic Summit in Davos last month.
Oppenheimer, whose family is worth an estimated $3 billion according to Forbes magazine, expressed some regret that South Africa was losing one of its premier blue-chip firms.
``For one of the great companies of the South African stock exchange to go private is a really sad thing,'' Oppenheimer said.
Shares in De Beers and Anglo American in Johannesburg hit record highs on Friday on expectations that the consortium may increase its original $43.17 a share offer to De Beers shareholders |
