Prosus Nets 14.6 Billion from Sale of Tencent Stake


Amsterdambased technology investor Prosus NV has netted 14.6 billion from the sale of a 2 stake in Tencent Holdings Ltd, the Chinese gaming and social media giant said, in one of the worlds largest ever block trades.

Our belief in Tencent and its management team is steadfast, but we also need to fund continued growth in our core business lines and emerging sectors, Prosus Chairman Koos Bekker said in a statement after the completion of the deal on Thursday.

In a Hong Kong Stock Exchange filing, Tencent said Prosus sold 191.89 million shares for HK114.1 billion, reducing its stake to 28.9.

That works out at HK595 76.44 per share, at the top of an indicative range of HK575 to HK595 set out when Prosus announced its intention to sell the stake in an accelerated offering on Wednesday afternoon.

The price was a 5.5 discount to Tencents Wednesday close of HK629.50. Tencent stock, which is up 10 so far this year, opened down 2.5 in Hong Kong on Thursday following the news.

The block trade a trade of a large number of securities was the largest of Tencent stock since 2018 when Naspers sold 2 of the group for 9.8 billion, Refinitiv data showed.

Prosus also invests in online food delivery platforms, classified marketplaces and digital payments businesses.

For the halfyear ended Sept. 30, it reported a 29 increase in core earnings to 2.2 billion, as proceeds from its Tencent stake offset losses at other online interests.

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