Prosus N.V. (Prosus) (AEX and JSE: PRX) The annual
general meeting (AGM) of the shareholders of Prosus was held
today.
Shareholders are advised that all resolutions set out in the
notice of the AGM were passed by the requisite majority of
shareholders represented at the AGM and adopted.
We note that the issued share capital of Prosus at the record
date was as follows:
Class of share
Nominal value per share
Number of votes per share
Issued share capital
Authorised share capital
Ordinary Share N (N shares)
EUR0.05
1
2,487,280,090
5,000,000,000
Ordinary Share A1 (A shares)
EUR0.05
1
6,446,739
10,000,000
Ordinary Share B (B shares)
EUR0.05
1
2,869,537,584
3,000,000,000
54,743,475 ordinary shares N were held in treasury by the
Company as at the record date. Therefore, the number of ordinary
shares that could have been voted at the meeting: 5,308,520,938.
The total number of ordinary shares represented at the meeting was:
4,969,546,637 which is 92.66% of the total issued share
capital.
Details of voting results:
NO.
AGENDA ITEM
VOTES FOR
%
VOTES AGAINST
%
VOTES ABSTAIN
VOTES TOTAL
% of ISSUED SHARE CAPITAL
VOTED
3
To approve the directors’
remuneration report
4 150 069 285
83,52
818 741 510
16,48
735 835
4 969 546 630
92,66%
4
To adopt the annual accounts for
the financial year ending 31 March 2024
4 966 299 011
99,99
653 913
0,01
2 593 706
4 969 546 630
92,66%
5
To make a distribution in
relation to the financial year ending 31 March 2024
4 966 348 017
99,95
2 551 485
0,05
647 128
4 969 546 630
92,66%
6
To discharge the executive
directors from liability
4 844 380 574
97,54
122 297 344
2,46
2 868 712
4 969 546 630
92,66%
7
To discharge the non-executive
directors from liability
4 685 161 924
94,33
281 489 255
5,67
2 895 451
4 969 546 630
92,66%
8
To adopt the remuneration policy
of the executive and non-executive directors
4 132 328 869
83,16
836 588 181
16,84
629 580
4 969 546 630
92,66%
9
To approve the remuneration of
the non-executive directors
4 932 428 161
99,27
36 428 454
0,73
690 015
4 969 546 630
92,66%
10
To appoint Fabricio Bloisi as an
executive director of Prosus
4 941 663 828
99,45
27 231 007
0,55
651 795
4 969 546 630
92,66%
11
To reappoint the following
non-executive directors:
11.1
Hendrik du Toit
4 866 469 148
98,06
96 337 946
1,94
6 739 536
4 969 546 630
92,66%
11.2
Craig Enenstein
4 406 891 547
88,69
561 994 477
11,31
660 606
4 969 546 630
92,66%
11.3
Angelien Kemna
4 926 069 075
99,14
42 775 468
0,86
702 087
4 969 546 630
92,66%
11.4
Nolo Letele
4 873 174 381
98,09
95 102 544
1,91
1 269 705
4 969 546 630
92,66%
11.5
Roberto Oliveira de Lima
4 650 787 623
93,60
317 781 193
6,40
977 814
4 969 546 630
92,66%
12
To reappoint Deloitte Accountants
B.V. as the auditor charged with the auditing of the annual
accounts for the year ending 31 March 2026
4 963 446 284
99,89
5 447 443
0,11
652 903
4 969 546 630
92,66%
13
To designate the board of
directors as the Company body authorised to issue shares
4 788 307 610
96,37
180 592 932
3,63
646 088
4 969 546 630
92,66%
14
To authorise the board of
directors to resolve that the Company acquires shares in its own
capital
4 741 219 859
95,42
227 468 433
4,58
858 338
4 969 546 630
92,66%
15
To reduce the share capital by
cancelling own shares
4 961 541 466
99,85
7 237 428
0,15
767 736
4 969 546 630
92,66%
Summary of statements from the annual general
meeting:
Our role in an AI-first world
The technology sector is being reshaped by significant
geopolitical movements – from regulatory changes in major markets
to shifting trade policies, these developments have profound
implications. Our strategic focus on growth markets and disciplined
capital allocation has enabled the group to adapt and grow in times
of change. In doing so, we are actively helping to shape the
technology ecosystem, ensuring our investments align with key
global trends.
Given the speed at which our daily lives are becoming more
digital, our considerable technological capabilities are focused on
artificial intelligence or AI and digital transformation. Equally
important, we have integrated ethical AI frameworks to ensure our
technologies are safe, transparent and equitable. Our commitment to
innovation is evident in our strategic investments in
high-potential areas, and our ongoing work to use AI in improving
operational efficiencies and customer experiences. Throughout our
group, we are not negotiable on adhering to accepted standards of
ethical practice in deploying technology.
Discount to net asset value
In the past year, we made further progress on reducing the
discount to net asset value at which Prosus and Naspers shares
trade. We have created additional value for shareholders by
continuing our open-ended share-repurchase programme, funded by
small sales of Tencent shares. Since its inception in June 2022,
this programme has reduced the free-float share count by 21% and
generated US$32bn of value for shareholders. The combined holding
company discount of Naspers and Prosus has reduced by some 21
percentage points, with a total value of US$17.1bn in Prosus
ordinary shares N bought back. This translates to 8.2% accretion in
net asset value per share.
Importantly, this buyback programme increases our per-share
exposure to Tencent. Given our confidence in Tencent’s future, we
are committed to remaining a large shareholder.
Delivering our strategy
During the year, we refined our strategic focus and simplified
our operating structure to focus on what Prosus does best – build
valuable businesses that solve everyday problems for customers. We
do this globally by backing innovative local entrepreneurs, but
with a disciplined approach to capital allocation. We typically
grow our capital commitments progressively as we learn and scale,
intrinsically linked to future returns.
In the review period, we made good progress on our strategy. We
reached consolidated Ecommerce profitability ahead of target – a
milestone that reflects rigorous cost management, strategic
investments in high-growth areas, and a focused approach on core
market segments that promise high returns. Although this focus on
profitability strengthens the company’s financial health, it also
emphasises our ability to generate long-term, sustainable
value.
Although we have recorded robust growth in several sectors,
there are areas where we did not meet our expectations.
Specifically the internal rate of return from our portfolio and the
level of our holding-company discount. By facing these facts, we
can make informed decisions about our future and implement the
changes that need to be made.
A year of progress
The 2024 financial year was a transformative period for our
group as we proved that growth and profitability can co-exist, and
continued to outpace our peers in revenue growth. Group revenue
grew 11% to US$5.5 billion, driven by strong performances across
our key segments. In addition to reaching profitability six months
early, consolidated trading profit for our Ecommerce sector
improved by a sizeable US$451m to US$38m, driven by growth, scale
and cost reductions.
While we continue to look for long-term growth opportunities,
external investment was limited to US$571m for the year. This is
meaningfully below the US$6.3bn peak in 2022 as we maintained
discipline in a challenging investment landscape.
Our balance sheet remains strong and liquid, with cash of
US$14.6 billion and debt of US$15.2 billion translating to net debt
of just US$0.6 billion at year end. This provides internal
opportunities to scale the core of each of our businesses and build
their ecosystems. Externally, being well-capitalised allows us to
invest in businesses setting the pace of growth for the future,
particularly in areas like AI where we have real competence and
institutional knowledge.
Our capital allocation will be even more disciplined, given that
investments now face a higher bar. We will continue to drive
profitability, build scale and manage expenses and free cash flow,
while investing for growth in high-conviction areas.
Our role in society
For every milestone we reach on our sustainability journey, new
ones appear on the horizon. Worldwide, shareholders, regulators and
other stakeholders now expect more substance and transparency on
how companies embed sustainability into their business practices –
meaningfully and measurably.
We are a global technology group – active in high-growth markets
and invested in a world of exponential opportunity. Across our
diverse portfolio, expert teams are discovering and scaling digital
services and technologies that help address global challenges. We
are committed to making a difference because we know that
accelerating transition to more responsible consumption and greener
business models is critical for whole economies to move towards a
resource-efficient and low‑carbon growth path.
But sustainable development depends on economic growth. In
Brazil, India and South Africa, our locally built businesses are
driving this growth by innovating in key areas of life – from
finance to education – while creating jobs, enhancing livelihood
opportunities and promoting responsible consumption.
In parallel, technology is creating solutions for pressing
issues like climate action and social inclusion. For example,
digital financial services reach the remotest regions to help
people traditional banks cannot reach. Our edtech platforms give
diverse users access to online learning anytime, anywhere, without
the environmental footprint of a physical learning institution. Our
grocery-delivery and etail platforms combine convenience with a
lower carbon footprint, while our best-in-class food-delivery
businesses create jobs in countries with high youth unemployment.
They are also focused on curbing the environmental impact of
delivery services through sustainable packaging initiatives and
zero-emission vehicles. Our classifieds businesses are driving the
transition to a circular economy built on reduce-reuse-recycle
models. To illustrate, in just the vehicle and electronics
categories, OLX sold over 9.3 million secondhand items last year.
This conserved more than 2.5 million tonnes of materials and almost
430 million cubic metres of water while preventing 3 million tonnes
of GHG emissions.
Our strategic priority of being a force for good also translates
into employment and livelihood opportunities. In our own workforce,
the global shortage of digital talent remains a challenge. We are
helping our people develop their full potential through a culture
built on diversity, inclusion and learning, with competitive pay
and benefits. We are also committed to ensuring our portfolio
companies offer fair pay and working conditions for delivery
partners, irrespective of how their engagement is classified.
We are moving closer to global reporting standards on
environmental, social and governance or ESG disclosure, including
new requirements in the European Union. Despite broad differences
in jurisdictional reporting requirements, we are committed to
climate action and a transparent sustainability approach. To
illustrate, we are on track to achieve our verified science-based
corporate target of reducing scope 1 and scope 2 emissions to zero
by 2028. More importantly, we are engaging with our portfolio
companies to set their own science-based reduction targets by 2030.
As proof of this commitment, climate action is built into the
short-term incentive targets for our chief executive officer (CEO)
and chief financial officer (CFO).
Aligning remuneration to performance and value
creation
Prosus operates in highly competitive, fast-changing markets,
many characterised by the shortage of key skills. Our remuneration
principles are simple: pay for performance; align with desired
shareholder outcomes; achieve the business plan; and be consistent.
Our remuneration structures therefore focus on attracting,
motivating and retaining the best people to create sustainable
shareholder value.
This year, we made several changes to our remuneration structure
to better align with our strategic goals and shareholder interests.
We also carefully considered feedback from our shareholders and the
investment community during our annual remuneration roadshow. Where
possible, we incorporated these recommendations and made further
disclosure and adjustments to the remuneration design for the CEO
and CFO.
The remuneration package for our new CEO, Fabricio Bloisi, was
disclosed in detail after publishing year-end results.
We have broadened our performance benchmarks and simplified our
LTI disclosures for greater transparency. This is all part of our
ongoing work to ensure our remuneration practices support our
strategic objectives and maintain market competitiveness.
Distributions to shareholders
Shareholders approved the distribution to holders of ordinary
shares N of 10 euro cents per share. Shareholders holding their
ordinary shares N in South Africa via Strate will then receive a
gross distribution of 198.0830 Rand cents per ordinary share N.
Holders of ordinary shares B and ordinary shares A1 will receive an
amount per share equal to their economic entitlement as set out in
the articles of association.
Dividends and capital repayments are declared and paid in euros.
The above amounts are based on an EUR/ZAR exchange rate of R19.8083
as at 21 August 2024. Further details regarding the distribution
will be published at a later date.
Looking forward with confidence
Our purpose is unchanged – we aim to improve everyday life for
people around the world by building leading companies that use
technology to meet societal needs in better ways. We are excited
about the opportunities ahead. Our focus on being a responsible
business that has a sustainable, positive impact on the world and
operates under high standards of corporate governance will continue
to guide our work.
Amsterdam, the Netherlands 21 August 2024
JSE sponsor to Prosus: Investec Bank Limited
Euronext listing agent ING Bank N.V.
Euronext paying agent ABN AMRO Bank N.V.
About Prosus
Prosus is a global consumer internet group and one of the
largest technology investors in the world. Each month, over two
billion customers across the globe use the products and services of
companies that Prosus has invested in, acquired or built. Prosus
builds leading consumer internet companies that empower people and
enrich communities. The group is focused on online classifieds,
food delivery, payments and fintech. The team actively backs
exceptional entrepreneurs using technology to improve people's
everyday lives.
Prosus has a primary listing on Euronext Amsterdam (AEX:PRX) and
secondary listings on the Johannesburg Stock Exchange (XJSE:PRX)
and A2X Markets (PRX.AJ). Prosus is majority-owned by Naspers.
For more information, please visit www.prosus.com.
Disclaimer
This document contains information that qualifies as inside
information within the meaning of Article 7(1) of the Market Abuse
Regulation.
This announcement does not constitute, or form part of, an offer
or any solicitation of an offer for securities in any
jurisdiction.
The information contained in this announcement may contain
forward-looking statements, estimates and projections.
Forward-looking statements involve all matters that are not
historical and may be identified by the words “anticipate”,
”believe”, ”estimate”, ”expect”, ”intend”, ”may”, ”should”, ”will”,
”would” and similar expressions or their negatives, but the absence
of these words does not necessarily mean that a statement is not
forward-looking. These statements reflect Prosus’s intentions,
beliefs or current expectations, involve elements of subjective
judgement and analysis and are based upon the best judgement of
Prosus as of the date of this announcement, but could prove to be
wrong. These statements are subject to change without notice and
are based on a number of assumptions and entail known and unknown
risks and uncertainties. Therefore, you should not rely on these
forward-looking statements as a prediction of actual results.
Any forward-looking statements are made only as of the date of
this announcement and neither Prosus nor any other person gives any
undertaking, or is under any obligation, to update these
forward-looking statements for events or circumstances that occur
subsequent to the date of this announcement or to update or keep
current any of the information contained herein, any changes in
assumptions or changes in factors affecting these statements and
this announcement is not a representation by Prosus or any other
person that they will do so, except to the extent required by
law.
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Investor Enquiries Eoin Ryan, Head of Investor Relations
+1 347-210-4305 Media Enquiries Charlie Pemberton,
Communications Director +31 6 15494359