Dutch-based technology investment company Prosus plans to sell a 2 percent stake in software giant Tencent, worth about $15 billion (R218 billion) at current prices, in an accelerated offering to institutional investors. Photo: File
Dutch-based technology investment company Prosus plans to sell a 2 percent stake in software giant Tencent, worth about $15 billion (R218 billion) at current prices, in an accelerated offering to institutional investors. Photo: File

Prosus to sell $15bn stake in Tencent

By Reuters Time of article published Apr 7, 2021

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JOHANNESBURG - DUTCH-based technology investment company Prosus plans to sell a 2 percent stake in software giant Tencent, worth about $15 billion (R218 billion) at current prices, in an accelerated offering to institutional investors.

Prosus, majority owned by Naspers of South Africa, said the sale would lower its stake in Tencent to 28.9 percent from 30.9 percent.

The move underlines the size of Prosus’s Tencent stake, which it said it had committed not to reduce further in the next three years.

“The proceeds of the sale will increase our financial flexibility, enabling us to invest in the significant growth potential we see across the group, as well as in our own stock,” chief executive Bob van Dijk said in a statement.

Prosus shares fell 4 percent to €94.52 (R1 634.19) shortly after the news.

The company said it had informed Tencent of its intention before Wednesday’s announcement.

In addition to its Tencent stake, Prosus owns or invests in online food delivery platforms, classified marketplaces and digital payments businesses.

REUTERS

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