South African e-commerce and media group Naspers plans to sell 17.1 million new shares in an accelerated bookbuild to raise $2.5 billion to fund acquisitions, it said on Thursday.
Part of the money raised would be used to fund its $1.2 billion acquisition of an additional stake in Russian online classified business Avito, in which Naspers is increasing its stake to 68 percent from 17.4 percent.
The price of the new shares will be determined during the bookbuilding process to be conducted by Citigroup and Morgan Stanley, the company said.
Accelerated bookbuilds, whereby investment banks sell shares quickly in one or two days, are typically run at a discount to a company’s stock price.
Africa’s largest company by market value, Naspers has transformed itself from an apartheid-era publisher into a $60 billion Internet powerhouse by focusing on e-commerce in emerging markets.
It has operations in more than 130 countries and owns stakes in Russian Internet group Mail.Ru Group and China’s biggest social network and online entertainment firm Tencent Holdings.