Anglo American’s De Beers selects Cleaver as CEO

De Beers, an Anglo American Plc subsidiary, has named Bruce Cleaver, an insider, as CEO of its diamond group, a move the global mining company is counting on to help it rebuild.

Cleaver takes on the new role at a difficult time for De Beers, with Diamond sales stagnating in 2015, hit by a weaker Chinese economy. But producers see room for recovery, particularly in the United States, which accounts for about 45 percent of demand.

Anglo American, which has an 85 percent stake in De Beers – the world’s largest diamond producer by value – is focusing on the diamond business after a restructuring.

Cleaver, 51, was previously director of strategy and business development at De Beers. He will take up the role on July 1, the company said Friday.

He replaces 60-year-old Philippe Mellier, who is stepping down, saying he saw his position as a five-year plan.

“After surviving some of the most challenging periods in the diamond industry, and now with the market starting to show signs of recovery, the time is right for me to pass the baton to the next generation,” he said in a statement.

Mark Cutifani, chief executive of Anglo American and chairman of De Beers, said Cleaver provided “strong continuity at an important stage in the diamond market recovery”.

Cleaver joined De Beers’ board in 2008 and served as co-acting chief executive in 2010, prior to Mellier’s appointment.

“He is a very solid internal pick for what could be considered a key division,” said Jeremy Wrathall, an analyst at Investec.

Investec predicts De Beers will change the face of Anglo American as the company, which is struggling with high debt levels following the commodities crisis, shifts its focus towards diamonds and platinum and away from industrial assets such as coal.