Market reaction against Tencent a likely overreaction
The most sensible course for Naspers investors for the moment would be to do nothing
Tencent, through its holding of WeChat, has been caught up in the escalating China/US trade tensions, which has potential implications for holders of shares in Naspers and Prosus.
On August 6 US President Donald Trump issued two executive orders against Chinese tech companies, imposing a ban on US transactions with TikTok and WeChat on the grounds that “they threaten national security, foreign policy and the economy”. The ban comes into effect on September 20...