Koos Bekker dismissed investors' request for a spin-off company on Friday, saying that it did not meet the requirements of the spin-off company in South Africa's electricity business and pay-TV giant Naspers chairman Kus & middot; The company's long-term business interests. Founded in 1915, Naspers has been transformed from a newspaper publisher in the era of apartheid to a multinational company with a market capitalization of $ 100 billion and has implemented a private equity program on auction sites such as auction sites, online retailing and e-classifieds classified ads investment.
However, Naspers' majority valuation comes from its holdings of 33% shares of Tencent Holdings. The value of these shares is about 132 billion US dollars, than Naspers own market value is also higher than 32%. This gap prompted some investors to urge Becker and other Naspers leadership to sell part of Tencent shares to narrow the company's market value and Tencent shares of the gap.
"From the day of listing in Tencent in 2004, we began to receive this proposal," Baker at the annual general meeting held in Cape Town, said the fact that every time our board of directors to evaluate Tencent , We will come to the same conclusion: Tencent shares is still our best investment. Now, we have not seen the reasons for the change. & Rdquo;
Becker invested $ 33 million in Tencent in 2001. In 2004, when Tencent listed on the HKEx, Naspers held Tencent shares from about $ 231 million soared to about 114 billion US dollars. Tencent is one of the biggest beneficiaries of China's faster 4G network popularity, because the company uses social media WeChat to sell music and streaming video.
Relying on the rapid growth of Tencent, Naspers annual profit increased by 40% or more, but the electricity business sector expansion expanded to 682 million US dollars. Since 2012, Naspers have invested $ 4 billion, mainly to promote the growth of electricity business platform. Naspers' business platform includes mobile classification applications Letgo, OLX, which are the largest classified sites in India and Brazil.
In addition, Becker also rejected the investor's proposal to spin off the company's business.