LifeGem specialises in converting human DNA into the precious gems.
And it claims it has a strand of the star's mane from the set of the Pepsi ad in which his hair caught alight in 1984.
'We are currently evaluating Jackson's hair sample to determine how many diamonds can be created,' founder Dean VandenBiesen says in a statement.
'This will be a limited collection and we anticipate great interest.'
Footage of Michael’s hair on fire was leaked online for the first time last month.
Michael Jackson - his life in pictures
Watch some of Michael Jackson's best pop videos