Naspers first invested in Avito in 2013. Subsidiary OLX Group has now bought a further 29.1 percent stake, bringing its ownership to 99.6 percent on a fully diluted basis. The remaining shares are held by the site’s management.
Naspers values the company at a staggering $3.85 billion U.S., according to a statement. “Avito is the leading online classifieds player in Russia and our decision to increase our stake reflects our belief in the long-term prospects of this great business and the Russian internet market,” said Naspers CEO Bob van Dijk.
In the wake of the acquisition, Vostok New Ventures sold its shares for $540 million U.S. “As [of] Sept. 30, 2018, Avito represented approximately 61.1 percent of Vostok New Ventures’ portfolio,” the company said in a separate statement. “The transaction will have a negative impact of approximately -3.9 percent on the business’ net asset value compared to the reported NAV as [of] Sept. 30, 2018.”
Vostok will distribute around $236 million U.S. to its shareholders as a result of the sale.
Avito was established in 2007. It’s main site, Avito.ru, is Russia’s eight-largest website. It sees an average of 304 million monthly visits, according to SimilarWeb. Naspers reported a 31 percent revenue increase to $162 million U.S. for the horizontal during H1 of fiscal 2019.