Hi Investors,
The biggest business deals often occur in the USA but those in emerging countries like India are becoming huge as well. This because companies based in India and China cover potential clients of 1.4 billion resp 3 billion.
Today Prosus NV announced that their gateway provider PayU has agreed to buy India's BillDesk for $4.7 billion.
If you are not familiar with these services have a look at who sits in between Ebay and your bank. That is a low profile company called Adyen (listed in Amsterdam and one of Europe large caps already by far) and it's price exploded the last 5 years.
Prosus is also a large cap with it's 29% stake in Tencent (CHina ) listed in Amsterdam and billions of investments in other growth companies. With the new purchase they cover already 175 billion pays stream annually (against a little fee)
Hundreds of milions of new consumers are expected to make use of digital pay systems the comoing years via laptop or smartphone.
With Western countries about to consume less and less the economic growth is in India and China
Or often called BRIC's
Companies or invstors like Prosus have understood this. Same is true for ETF's focussing on Asia. What I wanna say is that in each portfolio a percentage must be allocated to these growth companies like Billdesk or Tencent.
Be carefull
Goldrooster
Goldrooster holds 400 Prosus shares and 600 Prosus call options