![\"\"](\"https:\/\/mybroadband.co.za\/news\/wp-content\/uploads\/2022\/10\/Bob-van-Dijk-Naspers-shadow.jpg\")
<\/a>Bob van Dijk, former Naspers and Prosus CEO<\/p><\/div>\n
Prosus paid $1 billion more for Stack Overflow than its valuation a year before, which showed why firms like Andreessen Horowitz were happy to let it go.<\/p>\n
It was not long before it became clear that Prosus, under Van \u2019s leadership, hugely overpaid for Stack Overflow.<\/p>\n
In March 2022, seven months after the acquisition, Prosus reported a $246 million impairment loss on Stack Overflow.<\/p>\n
Stack Overflow reported $54 million in revenue and a $34 million trading loss. It was clearly struggling financially.<\/p>\n
A year later, in its March 2023 financial year, Prosus reported another major impairment loss on Stack Overflow. This time, it was to the value of $560 million.<\/p>\n
In the 2023 financial year, Prosus reported revenue of $94 million and a concerning trading loss of $84 million.<\/p>\n
In 2024, Prosus impaired stack overflow by another $372 million. Stack Overflow reported revenue of $98 million and a trading loss of $57 million.<\/p>\n
If Prosus sold Stack Overflow at its current book value, it would receive $1.2 billion less than what it paid for it.<\/p>\n
The Stack Overflow deal, therefore, cost Naspers and Prosus investors significant amounts of money.<\/p>\n
In addition to the $1.2 billion impairment, Stack Overflow has reported total trading losses of $175 million since the acquisition.<\/p>\n
This is not the only poor investment decision Prosus made. Numerous other companies have also made big losses with significant impairments.<\/p>\n
It was not a surprise when Naspers announced in September 2023 that Bob van Dijk had stepped down as CEO and his board positions at Naspers and Prosus.<\/p>\n