Investors don't appear convinced about Prosus and parent company Naspers's latest move to create shareholder value. Shares of both companies fell yesterday after Prosus said it was reducing its stake in Tencent by a fraction to give it more financial flexibility to invest in its growth businesses. It's likely that the Tencent shares will be sold at a small discount, which may have contributed to the declines in their share prices yesterday.

One share that's likely to rise today is Adapt IT after the software services company said it had a second and higher buyout offer, this time cash. The announcement was made after the close of trade yesterday.

Meanwhile, Purple Group's shares jumped close to 10% after it prepared investors for a big rise in earnings when it reports interim results tomorrow. While it gave no details, its EasyEquities trading and investment platform has gained a lot of traction over the past year.

Rebosis Property Fund also rallied after it alerted the market to talks with local and offshore institutions and pension funds that could get it out of its current financial predicament.

Finally in today's newsletter, De Beers has reported a decline in diamond sales in its third sales cycle for the year but says demand remains solid as it enters a traditionally quieter period for the industry.

I hope you have a good day.

Stephen Gunnion

Managing Editor, InceConnect

The latest from Ingham Analytics

Turkey is an emerging market peer for South Africa and recent developments in that country have lessons for hotheads here. Risk expert Andrew Kinsey assesses the currency and bond market effects in "Turkey shoot?" Also check out his expert analysis in "Archegos goes down, banks blow themselves up" and with recent developments in US bond markets is there a warning signal for equities as "Is there an attachment point for equities?" discusses.