Faded Jewel

South Africa: Party may be over for Naspers investors as Tencent growth stalls

By David Whitehouse

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Posted on January 24, 2023 11:21

© A cosplay fan poses for a photo at a Tencent Games booth during the China Digital Entertainment Expo and Conference, also known as ChinaJoy, in Shanghai, China July 30, 2021. REUTERS — A cosplay fan poses for a photo at a Tencent Games booth during the China Digital Entertainment Expo and Conference, also known as ChinaJoy, in Shanghai, China July 30, 2021. REUTERS

Investors for years have applied a heavy discount to the basket of assets held by South Africa’s Naspers, where a dual system of voting rights ensures insider control.

A series of attempts by management including the creation of the separate Prosus unit listed in Amsterdam, and a pledge last June to gradually sell down the Tencent stake to fund share buybacks, have had little success in reducing the discount.

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