MajorsAug 26, 2024
Longtime Industry Sales Trainer Lenny Zell Dies at 97Said to be the first to write a jewelry sales manual for the industry, Zell is remembered for his zest for life.
SourcingJun 30, 2016
Why the Biggest Rough Diamond in a Century Failed to Sell
The CEO of the company that found the 1,109-carat Lesedi la Rona said, “the historical significance of the stone seems to have been missed based on the bids offered.”
Bidding for the 1,109-carat Lesedi la Rona rough diamond failed to reach the reserve price at Sotheby’s London, so Lucara will “retain” the stone.
London--Even after a lot of publicity and excitement around Lucara’s 1,109-carat Lesedi la Rona rough diamond, the tennis-ball sized stone failed to sell at auction Wednesday.
Discovered at Lucara Diamond Corp.’s Karowe Mine, the stone is the largest rough diamond found since the 3,016.75-carat Cullinan Diamond in 1905.
Lucara said that bidding at the auction at Sotheby’s London did not meet the reserve price--Sotheby’s pre-sale estimate on the stone was $70 million--so it will “retain” the stone for now. The highest bid reached was $61 million, $68.3 million with buyer’s premium.
Lucara CEO and President William Lamb told National Jeweler, “It needs to be understood that this is the first time anyone has attempted to sell a rough diamond via the auction process. Lucara wanted to understand whether there was a market for truly exceptional diamonds where they would be purchased as collectables the same as high-value art.
“We understand that it is not easy to see the true value in a diamond when the only mechanism is to value the polished. The historical significance of the stone seems to have been missed based on the bids offered.”
When asked what role he thought Brexit or other global economic situations might have had on the outcome, he said, “We cannot say. In today’s volatile times, there is always some level of economic uncertainty. Saying this is the reason the auction did not conclude with the sale of the stone would be incorrect, although it may have in some way played a small part.”
When the news first broke that the stone would be put up for auction, Sotheby’s said it commissioned independent reports on the potential yield of Lesedi la Rona from the Gem Certification and Assurance Lab (GCAL) and Diamex Inc./Crodiam Consulting DMCC.
The reports weren’t made public, though a few details were released, including the fact that experts believe that the Lesedi la Rona could yield a polished white diamond that tops the “Great Star of Africa” (530.20 carats) in size.
The reports also stated that there is a “high probability” that the polished diamonds cut from the 1,109-carat rough will be D color.
Aside from its size, the fact that
the Lesedi la Rona was a rough diamond offered up at a public auction--one open to more than just the trade--was another notable aspect of this diamond find.
With the auction having failed, Lamb said there are a number of options available to Lucara, ranging from partnering on the stone to holding a regular tender within the diamond market or putting the stone on display at a museum.
He said with no pressing need to sell the stone, Lucara has time to decide what might be the best route to take.
Aside from Lesedi la Rona, Wednesday’s auction also featured three other pieces of rough, proceeds from the sale of which will go to the Lady Khama Charitable Trust. The trust supports existing charitable organizations working on community development and projects that benefit vulnerable women and children.
All three lots' pre-sale estimates were between $10,000 and $15,000 but came in well above that.
A rough diamond weighing 5.44 carats and octahedron in form garnered $57,500. A 5.62-carat rough diamond of octahedron form went for $42,500, and a third piece of rough weighing 5.78 carats of rhombic dodecahedron form sold for $40,000.
With the auction having failed, Lamb said there are a number of options available to Lucara, ranging from partnering on the stone to holding a regular tender within the diamond market or putting the stone on display at a museum.
He said with no pressing need to sell the stone, Lucara has time to decide what might be the best route to take.
Aside from Lesedi la Rona, Wednesday’s auction also featured three other pieces of rough, proceeds from the sale of which will go to the Lady Khama Charitable Trust. The trust supports existing charitable organizations working on community development and projects that benefit vulnerable women and children.
All three lots' pre-sale estimates were between $10,000 and $15,000 but came in well above that.
A rough diamond weighing 5.44 carats and octahedron in form garnered $57,500. A 5.62-carat rough diamond of octahedron form went for $42,500, and a third piece of rough weighing 5.78 carats of rhombic dodecahedron form sold for $40,000.
More on Sourcing
The Latest
WatchesAug 26, 2024
IWC Is Sending Its Watches to SpaceThe company outfitted the Polaris Dawn spaceflight crew with watches that will later be auctioned off to benefit St. Jude’s.
AuctionsAug 23, 2024
Abernethy Pearl Tops Estimates at Auction A buyer paid more than $100,000 for the gemstone known as “Little Willie,” setting a new auction record for a Scottish freshwater pearl.
Brought to you by
Watch: Natural Diamonds: A Great (but Often Untold) Geology StorySupplier Spotlight Sponsored by GIA.
CollectionsAug 23, 2024
Piece of the Week: Gumuchian’s Colorful ‘Spectrum’ NecklaceAnita Gumuchian created the 18-karat yellow gold necklace using 189 carats of colored gemstones she spent the last 40 years collecting.
Weekly QuizAug 23, 2024
This Week’s QuizTest your jewelry news knowledge by answering these questions.
TrendsAug 22, 2024
Kaley Cuoco Has a Three-Stone Engagement Ring With a TwistThe three-stone ring was designed by Shahla Karimi Jewelry and represents Cuoco, her fiancé Tom Pelphrey, and their child.
CollectionsAug 22, 2024
Greenwich St. Jewelers Collabs with TikTok Jewelry Content CreatorThe Manhattan jewelry store has partnered with Xarissa B. of Jewel Boxing on a necklace capsule collection.
Brought to you by
Watch: Forging the Next Generation of Skilled Bench Jewelers at GIASupplier Spotlight Sponsored by GIA
TechnologyAug 21, 2024
Instagram’s Notes Feature Expands to Posts, ReelsActing as temporary virtual Post-it notes, Notes are designed to help strengthen mutual connections, not reach new audiences.
TrendsAug 21, 2024
Carol Woolton To Release New BookThe jewelry historian discusses the history and cultural significance of jewelry throughout time and across the globe.
TrendsAug 21, 2024
Amanda’s Style File: Shimmy and ShakeFrom fringe and tassels to pieces that give the illusion they are in motion, jewelry with movement is trending.
IndependentsAug 20, 2024
Mixed-Media Jewelry Artist Jan Yager Dies at 72The designer and maker found community around her Philadelphia studio and creative inspiration on the sidewalks below it.
ColumnistsAug 20, 2024
Google Ads Payment Policy Change: What It Means For YouThe change to accepted payment methods for Google Ads might seem like an irritation but actually is an opportunity, Emmanuel Raheb writes.
IndependentsAug 20, 2024
Pat Henneberry Releases MemoirThe industry consultant’s new book focuses on what she learned as an athlete recovering from a broken back.
Events & AwardsAug 20, 2024
The Ethical Gem Fair Is Going to CaliforniaThe fair will take place on the West Coast for the first time, hosted by Altana Fine Jewelry in Oakland, California.
MajorsAug 20, 2024
Kathy Hillelson Joins Board of WJA Foundation Hillelson is a second-generation diamantaire and CEO of Owl Financial Group.
Events & AwardsAug 19, 2024
Nominations Are Open for the 2025 Gem AwardsSubmissions in the categories of Jewelry Design, Media Excellence, and Retail Excellence will be accepted through this Friday, Aug. 23.
AuctionsAug 19, 2024
Scotland’s Famed Abernethy Pearl Is Up for Sale Known as “Little Willie,” it’s the largest freshwater pearl found in recent history in Scotland and is notable for its shape and color.
IndependentsAug 19, 2024
Kentucky Jeweler Closing After 89 YearsClements Jewelers in Madisonville cited competition from larger retailers and online sellers as the driving factor.
CrimeAug 16, 2024
Jewels Stolen During Green Vault Heist Back on DisplayMost of the 18th century royal jewelry taken from the Green Vault Museum in Dresden, Germany, in 2019 went back on display this week.
IndependentsAug 16, 2024
Louis Anthony Jewelers Announces First Resort StoreThe Pittsburgh jeweler has opened a store in the nearby Nemacolin resort.
CollectionsAug 16, 2024
Piece of the Week: Jonne Amaya’s ‘Cat Claw’ NecklaceWith a 40-carat cabochon emerald, this necklace is as powerful and elegant as a cat.
Events & AwardsAug 16, 2024
IJO Names Jewel-Craft as VIP Vendor of the YearThe Erlanger, Kentucky-based company was recognized for its reliability when it comes to repairs and fast turnaround times.
SourcingAug 15, 2024
Greenland Ruby Is Up For SaleUnable to pay its debts, the ruby and sapphire miner is looking to restructure and become a “competitive and attractive” company.
TrendsAug 15, 2024
Paola De Luca to Debut Trendbook 2026+ at VicenzaoroThe trend forecaster’s latest guide has intel on upcoming trends in the jewelry market.
Events & AwardsAug 15, 2024
Heather Ingraham Awarded WJA Helene Fortunoff Scholarship Ingraham said she’ll use the scholarship funds to attend the Women’s Leadership Program at the Yale School of Management.
IndependentsAug 15, 2024
DC Jeweler Schools Students About Jewelry Via Summer ProgramMoijey Fine Jewelry & Diamonds held a three-week “Mine to Finger 3D Jewelry Program.”
