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Naspers sells NetMed and withdraws Cautionary - Update

Monday, media company Naspers Limited (NPSN) said Myriad International Holdings B.V., an indirectly wholly owned subsidiary of Naspers, announced the sale of the Greek and Cypriot pay-TV operations NetMed to Forthnet SA, a Greek telecommunications company.

Naspers said that as a result of the sale, the cautionary announcement provided earlier is now withdrawn. Shareholders of Naspers are accordingly no longer required to exercise caution when dealing in their shares.

In April 2008 and in early June, following a strategic review of investment priorities the company announced the signing of a deal to sell its 87.47% stake in NetMed. The company said that the deal placed an enterprise value on NetMed of EUR490 million or US$760 million.

The effective date of the transaction would be subject to a number of conditions precedent, inter alia the approval of the Greek and Cypriot competition authorities and telecommunications regulator, completion of Forthnet's rights issue and fulfillment of certain conditions regarding Forthnet's debt financing facility.

The company said headline earnings per share after disposal is expected to decline to 995 cents compared 1,051 cents before disposal. Naspers said that un-audited pro forma financial effects are based on audited provisional results for the period ending March 31, 2008.

The after-disposal earnings per share results, Naspers said, assume a disposal effective April 1, 2007 and total cash receipt of EUR376 million. Cash received from the stake sale of EUR376 million was applied to the group's revolving credit facility bearing interest at a rate of US LIBOR plus 1.75%.

NPSN traded last on June 13 at $25.55.

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