By Adam Whittaker

Anglo American wrote down the value of its De Beers diamond business by $2.3 billion, the third cut in three years, as challenging market conditions complicate plans to dispose of the unit.

The London-listed miner warned earlier this month that it was undertaking a review of the business that could lead to the write-down. For 2025, the unit booked a roughly $500 million underlying earnings loss.

Soft economic growth in China, and the rise of cheaper lab-made diamonds have taken the shine off the storied unit. Diamond jewelry retailers are increasingly embracing synthetic diamonds, especially in products such as engagement rings.

In February last year, Anglo wrote down De Beers's value by $2.9 billion, having already reduced it by $1.6 billion in 2024.

After fending off a roughly $50 billion hostile takeover bid from BHP in 2024, the miner has been simplifying its business by spinning off units and focusing on iron and copper. It agreed to merge with Canada's Teck Resources in September in a deal that places copper at the heart of the combined entity.

The rise of artificial diamonds has dented sales for De Beers, whose famous 1947 "A Diamond is Forever" campaign enhanced the appeal of diamond rings. Weakness in the industrial diamond market has added to the problems.

The company said Friday that it was progressing with the separation of De Beers. It is prioritizing a sale of the business and given the continuing discussions with interested parties, Chief Executive Duncan Wanblad said he is optimistic a deal will be signed over 2026.

The impairment came as it booked underlying earnings before interest, taxes, depreciation and amortization of $6.4 billion for last year compared with $6.3 billion in 2024. It booked a net loss of $3.7 billion, including the $2.3 billion De Beers pretax impairment.

Write to Adam Whittaker at adam.whittaker@wsj.com

(END) Dow Jones Newswires

February 20, 2026 03:34 ET (08:34 GMT)

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