With Russian interests, technology investor Prosus has had an even tougher first half of 2022 than its more famous cousin SoftBank. But there is a silver lining: The carnage has forced the Dutch company to take a more meaningful step toward monetizing its $133 billion stake in Chinese tech giant Tencent.
Prosus shares jumped 18% Monday after it said it would drip Tencent stock into the market to fund an open-ended share buyback program. The Amsterdam-listed conglomerate owns 29% of Tencent as a result of a spectacular early bet by its South African majority owner Naspers—a deal matched in recent investment history only by SoftBank’s backing of Alibaba. Prosus has Tencent’s blessing to walk back a promise made in April 2021 not to cut its stake for three years, it said. Tencent stock fell about 1.6% in Hong Kong Monday when peers rose.
For Tencent’s Anchor Shareholder, a Bad Run Sparks a Better Strategy Source link For Tencent’s Anchor Shareholder, a Bad Run Sparks a Better Strategy