Prosus is evolving from a Tencent-heavy holding company into a cash-generative, AI-driven ecommerce operator—while buybacks relentlessly monetize the NAV discount.
Overview
Prosus N.V. is a large, complex global consumer-internet investment and operating group: it owns a massive strategic stake in Tencent while increasingly deriving momentum from consolidated Ecommerce platforms across Latin America, Europe, and India. The company is repositioning from a “holding company discount” story to an operating performance story, supported by a powerful capital-allocation engine: an open-ended share buyback funded by selective Tencent stake trimming. Operationally, Prosus’ Ecommerce portfolio (Food Delivery, Classifieds/OLX, Payments & Fintech/PayU, and Etail/eMAG) is reaching a profitability milestone. In 1H26, consolidated revenue was **US$3.6bn (+22% YoY)** and group adjusted EBITDA nearly doubled, as major segments moved into profitable territory and free cash flow ex-Tencent swung positive—evidence of a “Tencent Plus” model. iFood remains the crown jewel with dominant Brazil share and strong margins; OLX is highly profitable with ~49% aEBITDA margins; PayU is re-accelerating in India after regulatory licensing progress. The 2025 acquisition of Just Eat Takeaway expands Prosus into Western Europe and makes it the third-largest global delivery platform, though it increases integration and regulatory risk. Overall, Prosus offers discounted exposure to high-growth internet markets plus a structural mechanism (buybacks at a NAV discount) that can compound per-share value if operating execution holds and Tencent risk remains manageable.