Naspers lists consumer internet assets in Amsterdam under name Prosus

South African e-commerce group Naspers has listed its internet assets, including a 31% stake in Chinese tech giant Tencent, on the Amsterdam stock market under a newly formed entity called Prosus NV.

Shares in the spin-off company surged by 25% in early trading on their market debut in Amsterdam on Wednesday, after Euronext had given an indicative price of 58.70 euros per share for Prosus – implying a market value of €95.3 billion (R1.5 trillion).

This market capitalisation means Prosus is the third largest stock on the Amsterdam exchange after Royal Dutch Shell and Unilever, and Europe’s second largest tech firm after Germany’s SAP.

Naspers’ stake in Tencent, the world’s biggest video game company and home to Chinese social media platform WeChat, was acquired for just US$34 million in 2001 and is now worth $130 billion.

The Tencent stake has dominated the $103 billion group’s finances for years, so one reason for the Amsterdam spin-off is to reduce the firm’s weighting on the Johannesburg Stock Exchange, according to CEO Bob van Dijk.

“We believe Prosus will present a new and attractive opportunity for global tech investors to access our unique portfolio of internet businesses, providing a strong foundation for our future growth plans,” said van Dijk.

Naspers will retain a 75% stake in Prosus, with the other 25% stake distributed to Naspers shareholders and making up the free float.