Market loves surprise move by Naspers to narrow value gap

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Shares skyrocket after Prosus retracts on Tencent sales to fund share buyback

Prosus went back on its word not to sell more of Tencent’s stock for three years, saying on Monday it needs the money to fund a share buyback programme, sending its shares skyrocketing as much as 25%.

The open-ended, long-term programme, the size of which was not disclosed, is the latest attempt by Prosus, alongside parent Naspers, to crush a stubbornly wide gap between their market capitalisation and the value of their underlying assets...A subscription helps you enjoy the best of our business content every day along with benefits such as articles from our international business news partners; ProfileData financial data; and digital access to the Sunday Times and Sunday Times Daily.

 

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