Anglo American expects to book an impairment this year for its De Beers diamond business due to weak market conditions. This announcement comes as the company moves forward with plans to either spin off or sell its diamond business,

De Beers said there were signs of a pick up in US diamond demand before Christmas, while India has overtaken China to become the second-biggest market.

Anglo American Plc expects to take a writedown on its De Beers operations, as plunging diamond sales prompt output cuts and complicate its plan to exit the business.Most Read from BloombergCitadel to

Anglo American said all divisions met their full-year production guidance, and it expects its De Beers diamond business to book an impairment.

The miner said it would examine De Beers’s value in light of sluggish demand for diamonds as it seeks to exit the business.