The news that Lev Leviev is selling his stake in Catoca was a surprise to the diamond community. Rough&Polished asked Valery Morozov, CEO of Ruiz Diamonds Limited, a division of the Leviev Group, to comment it.
Can you comment this news, the sale of the 18-percent stake owned by Daumonti Financing, if the deal is a fact?
I do not undertake to comment selling the stake in Catoca - all I know is that there is some sort of cooperation with Chinese partners. Personally, I have not seen an official notification of the sale.
Will this deal with China Sonangol affect the work of diamond cutting businesses owned by the Leviev Group?
I can say that this deal has nothing to do with Russia. Here there was no overlap with the activities in Angola and this fact will not have any implications for the companies based in Russia.
In other words, the diamond cutting component will not be reduced?
Absolutely in no way. Especially that these 18% are no more than an investment. You can be an investor, but that does not necessarily mean that you will have access to rough which is mined there. This is a different story. In particular, mining companies in Angola do not sell their rough directly but through an authorized state-owned company.
What will happen to the diamond cutting enterprises established by Mr. Leviev in Angola? Is he going to withdraw from Angola entirely?
Besides Catoca, Leviev has diamond cutting factories and mining projects in Angola. I do not think that Leviev is planning to withdraw from Angola.
In addition to his assets in Angola, there are other assets he has in Namibia. Will they be sold too, if this deal has taken place or will take place?
I don’t think so. The projects in Namibia have no relation to the Angolan projects.
In other words, this deal will not affect the diamond pipeline built by Mr. Leviev starting from mining down to his own jewelry brand Leviev?
I believe that this is not connected in any way. I would not say that Leviev’s projects will be affected in terms of rough supply due to this transaction. They were never dependent on rough supplies from Catoca.
Rough&Polished
