Naspers slides as Tencent struggles in Hong Kong
Naspers fell as much as 4.8% to R2,554.27 on Monday as a strengthening rand amplified a 2.45% drop of Hong Kong-listed associate Tencent to H$270.60.
Nasper’s slide dragged the JSE’s top 40 index down more than 1% to 45,413 points at 1pm.
The slide in Tencent and other Asian technology stocks on Monday morning was sparked by Apple falling 3.88% to close at $148.98 on the Nasdaq on Friday. Google’s parent, Alphabet, fell 3.4% to $970.12, Facebook 3.28% to $149.63 and Amazon 3.16% to $978.31.
Friday’s tech slump came shortly after both Alphabet and Amazon joined the "$1,000 per share club".
Both companies were in a neck-and-neck race to crack the $1,000 per share barrier, with Amazon narrowly beating Alphabet on June 1.
The US tech stocks continued their slide in pre-opening trade on Monday morning, with Apple down a further 1.9% to $146.15 at 1pm Johannesburg time.
Naspers originally acquired 46.5% of Tencent for $34m in 2001 when the Chinese internet company’s share was trading at about H$0.70. Naspers’s investment subsequently mushroomed nearly 400-fold in 16 years.