PERFORMANCE
Naspers up on rand as Tencent share slips
Naspers, a rand-hedge stock, has benefited from a 5% weakening in the rand
Naspers has outperformed its investment in Tencent over the past month, thanks to the weaker rand and the possibility that it could receive a handsome return on its investment in Indian e-commerce platform Flipkart. Naspers’s stock has lifted nearly 2% since April 9, while Tencent has slipped 5% over the same period. Naspers, a rand-hedge stock, has benefited from a 5% weakening in the rand over the past month, with the local currency trading at R12.62 to the US dollar on Tuesday afternoon. Vestact portfolio manager Byron Lotter said Naspers may also have benefited from recent reports that Walmart would soon announce that it was buying a majority stake in Flipkart. Reuters reported that the deal would value Flipkart at between $18bn and $20bn, implying that Naspers’s stake could be worth $3bn. Naspers is expected to hang on to some of its shares. "I think the price is good, it’s been a great investment [for Naspers]," Lotter said. Meanwhile, Lotter said it was "a bit frustrating" th...
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