South Africa-based media and internet giant, Naspers, on Monday, announced it will float its e-commerce ventures on the Euronext stock exchange in Amsterdam. The new global consumer Internet group, NewCo, will have a secondary listing in Johannesburg.
“Forming and listing a new, global consumer internet group on Euronext Amsterdam is a significant step for Naspers,” Naspers CEO Bob van Dijk said, reported Forbes. “As well as opening up investment to a broader category of investors, the listing aims to reduce our weighting on the Johannesburg Stock Exchange, which we believe will help us maximize shareholder value over time.”
The new entity, NewCo, will comprise all of Naspers’ internet interests outside of South Africa, including its companies and investments in the online classifieds, e-commerce, travel, food delivery, payments, education, and social and internet platforms sectors, among others. The list includes names of some of the world’s fastest-growing internet brands, such as Tencent, OLX, Avito, letgo, PayU, iFood, Swiggy, mail.ru, DeliveryHero, Udemy, eMAG and MakeMyTrip.
Naspers will own approximately 75 percent of the new entity and the remaining 25 percent will be a free float. The financial details of the deal currently remain undisclosed. However, the company expects the transaction to be implemented in the second half of 2019.
“As Europe’s largest listed consumer internet company by asset value, NewCo will give global internet investors direct access to Naspers’ unique and attractive portfolio of international internet assets,” Naspers said.
Naspers has already got approval for the proposed transaction from national treasury and the South African Reserve Bank “on terms and subject to conditions customary to international transactions of this nature”.
After the listing of NewCo on Euronext Amsterdam, Naspers will remain the largest South African company listed on the JSE by market capitalization. The company confirmed that it will continue to invest in its South African businesses including the ecommerce group Takealot and several other media properties.
