SOUTH AFRICA: SHAREHOLDERS OF DIAMOND GIANT DE BEERS VOTE OVERWHELMINGLY IN FAVOUR OF $19.7 BILLION BUYOUT OFFER FROM WEALTHY OPPENHEIMER FAMILY

Record ID: 328649

  • Title: SOUTH AFRICA: SHAREHOLDERS OF DIAMOND GIANT DE BEERS VOTE OVERWHELMINGLY IN FAVOUR OF $19.7 BILLION BUYOUT OFFER FROM WEALTHY OPPENHEIMER FAMILY
  • Date: 18th May 2001
  • Summary: JOHANNESBURG, SOUTH AFRICA (MAY 18, 2001) (REUTERS - ACCESS ALL) 1. PAN: SHAREHOLDERS MILLING ABOUT 0.06 2. SV: ANGLO OFFICIALS CHATTING 0.10 3. SV: DE BEERS CHAIRMAN, NICKY OPPENHEIMER ARRIVING AND CHATTING WITH SHAREHOLDERS 0.19 4. VARIOUS PEOPLE WAITING FOR NEWS CONFERENCE (2 SHOTS) 0.25 5. SCU: (SOUNDBITE) (ENGLISH) DE BEERS CHAIRMAN, NICKY OPPENHEIMER SAYING, "It's been the family's first love since my grandfather came to South Africa round about the turn of the century in the diamond business. We've now taken a very important step and made a very substantial investment into the diamond business and we're very happy to have had that opportunity. We're very happy to be in that position. So I think as I've said, there are great challenges but a great opportunity." 0.52 6. WIDE OF PRESSER 0.55 7. SCU: (SOUNDBITE) (ENGLISH) DE BEERS CHAIRMAN, NICKY OPPENHEIMER SAYING, "It would be a De Beers shorn of its Anglo American holding with a large debt. But it's a De Beers that certainly the shareholders and DBI (new consortium - DB Investments) have confidence in and in the management of De Beers and I think there'll be exciting times ahead." 1.12 8. MV: MEDIA AT PRESSER 1.14 9. SCU: (SOUNDBITE) (ENGLISH) ANGLO AMERICAN CHIEF EXECUTIVE, TONY TRAHAR SAYING "I think this is a great step forward for Anglo in unlocking the holdings in one hit. The Anglo Shareholders have been strongly in support of this and we can focus on the growth of our business going forward in the FTSE." 1.38 10. SV: REPORTERS WRITING 1.42 11. SV: NICKY OPPENHEIMER AND TONY TAHAR SHAKING HANDS AND SMILING 1.45 JOHANNESBURG, SOUTH AFRICA (FILE) (REUTERS- ACCESS ALL) 12. VARIOUS FILE OF DIAMONDS IN STAGES OF PRODUCTION (2 SHOTS) 2.01 13. CU'S: DIAMONDS BEING FILED AND SMOOTHED OUT (4 SHOTS) 2.19 14. VARIOUS OF DIAMONDS (2 SHOTS) 2.31 Initials Script is copyright Reuters Limited. All rights reserved
  • Embargoed: 2nd June 2001 13:00
  • Keywords:
  • Location: JOHANNESBURG, SOUTH AFRICA
  • Country: South Africa
  • Reuters ID: LVA7O0P4XVE87NOEZP2KBXQOSTPB
  • Story Text: Shareholders in diamond giant De Beers have voted
    overwhelmingly in favour of a $19. 7 billion buyout offer from
    a group led by South Africa's wealthy Oppenheimer family and
    mining firm Anglo American Plc.


    In the biggest shake-up the diamond industry has seen
    since the Second World War, the century-old firm will be
    de-listed next month and then will be run day-to-day by the
    Oppenheimers.

    "We've now taken a very important step and made a very
    substantial investment into the diamond business and we're
    very happy to have had that opportunity," said De Beers
    Chairman, Nicky Oppenheimer after the announcement.

    "It would be a De Beers shorn of its Anglo American holding
    with a large debt. But it's a De Beers that certainly the
    shareholders and DBI have confidence in and in the management
    of De Beers and I think there'll be exciting times ahead."
    The 94.1 percent approval came after the bidders were
    forced to sweeten their original offer by $2 a share to win
    over some key investors.

    Anglo American and the Oppenheimers will each own 45
    percent of De Beers with the remaining 10 percent held by a
    joint venture with the government of diamond producer
    Botswana.

    "I think this is a great step forward for Anglo in unlocking the
    holdings in one hit. The Anglo Shareholders have
    been strongly in support of this and we can focus on the
    growth of our business going forward in the FTSE," said
    Anglo-American Chief Executive, Tony Tahar.

    De Beers has annual rough gem sales of $5.6 billion
    through its Diamond Trading Co, and operates mines and
    exploration projects in southern Africa and Canada.

    The bidders plan to de-list De Beers on June 1 and take
    the company private.

    The transaction will also eliminate investor unfriendly
    cross-shareholdings between De Beers and Anglo, which have
    been a drag on Anglo's share price.


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