The Elephants in the Room

Investing in media can bring value seekers a lot of smoke and mirrors. But Naspers, Africa’s largest company by market capitalization, is an intriguing sum-of-the-parts story in the space — due largely to the massive stake it owns in another biggest in breed: China’s Tencent, Asia’s largest internet business. Naspers has some warts but looks prepared to survive and thrive, with the potential to unlock serious upside.

There is much to be skeptical about when it comes to the media sector as an investment theme. Old-line companies seem to have a permanent case of anemia, while younger companies suffer from valuations that are, to our thinking, absurd. This …

You need a subscription to view this content. Subscribe here!
Already have an account? Log in here.
Want to try this article for free before subscribing? Click here.