Naspers, Africa’s largest technology investor is under investigation in China.
Naspers’ social media sites as well as WeChat, its mobile chat application are being investigated by the Cyberspace Administration of China.
As a result of the announcement, Naspers shares listed on the Johannesburg Stock Exchange, JSE, tanked by 5%, the worst in over five weeks.
Naspers has not released any official information on the matter.
The company is the most valuable company listed on the JSE with valued at USD88.95 billion. The company’s major value comes from its 33% stake in China’s Tencent. In 2001, its USD33 million investment on Tencent became its major breakthrough as Tencent is now valued at USD334 billion based on its market capitalization.
Naspers is expected to make public disclosures on the matter.
The aim of China’s Cyberspace Administration has been to control the cyberspace within the country. Its control is far-reaching, it would be recalled in 2015, that Cyberspace Administration of China deleted over 60,000 accounts across various social media sites and microblogs in the country.
China has been the hotbed of Internet censorship. Tech giants such as Google were forced to leave the country after they refused to offer a backdoor access to the government into emails and search results of their customers.