Naspers plans to sell 17,1m ordinary shares in order to raise US$2,5bn (about R36bn), the company announced on Friday.
Naspers said in a statement that it will use the money to fund acquisitions in Internet and e-commerce companies, including extending its stake in Avito from 17,4% to 67,9%.
Avito is a Russian-based classifieds portal and the Naspers deal is estimated at $1,2bn.
“The capital raising will finance the Avito acquisition as well as provide us with the financial flexibility to continue to deliver on our strategy of investing in high-growth internet and ecommerce companies to continue to drive returns for our shareholders,” said Naspers CEO Bob van Dijk.
The company added that it received authorisation for the Avito deal from South African Reserve Bank and the Russian Federal Antimonopoly Service. — Fin24