Naspers 'may buy ICQ'

Johannesburg - Rumours abound that media group Naspers is in discussions to buy the well-known global instant messaging service ICQ from American internet service provider giant, AOL.

AOL is restructuring and, according to worldwide reports, plans to sell ICQ for $300m (about R2.250bn), as the service is apparently no longer a core operation.

Media speculation is that Naspers could be the buyer. TechCrunch.com cites anonymous sources that believe AOL is already in advanced negotiations on a deal to take place only after December.

ICQ is an internet trailblazer, having started its instant messaging service in 1996. Today more than 42m Internet users make use of it.

Its users are chiefly in Germany, Russia, the Ukraine and Israel.

Yesterday, in response to enquiry, Naspers said that it was not company policy to respond to media speculation.

One of Naspers's most significant investments is in Hong Kong-listed Tencent, the group managing the exceptionally successful QQ short messaging service in China.

According to Cadiz African Harvest analyst Rob Nagel, it makes business sense for Naspers to look at such a business.

But one might ask why AOL wants to sell the business. Nagel says if the service no longer forms part of AOL's core activities selling it would make sense.

Reuters reported earlier that Naspers had entered into an agreement with a group of banks to re-negotiate a loan, upping it to $1.6bn. The loan's denomination was switched from pounds into dollars.

- Sake24.com

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Fin24.com is part of FinMedia24, a Naspers subsidiary.