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Adevinta M&A Activity 2020

Oct 30, 2020

3520_iss_2020-10-30_b34edea8-19b2-4dc6-9b4c-224fda44fd8a.html

M&A Activity

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Adevinta ASA (ADE) - OLX Brazil completes the acquisition of 100% of Grupo ZAP

Adevinta ASA (ADE) - OLX Brazil completes the acquisition of 100% of Grupo ZAP

* The transaction supports OLX's mission to reinvent the Brazilian consumer

model and positions OLX Brazil as a key player in the real estate market

Amsterdam, Oslo and Sao Paulo, 30 October 2020 - OLX Brazil, the 50/50 joint

venture between Adevinta ASA (OSE: ADE) and Prosus NV (AMS: PRX), announces

today that it has completed the acquisition of Grupo ZAP, announced in March,

for a total cash consideration of approximately R$2.9 billion. The investment

has been equally financed by OLX Brazil's two shareholders. The transaction

received regulatory approval on 1 October by Cade, the Brazilian antitrust

authority. As of today, OLX Brazil starts operating in the real estate market

under the OLX, ZAP and Viva Real brands, with complementary positions to meet

the different demands of end users, private advertisers and professionals within

the sector.

CEO Andries Oudshoorn will continue to lead OLX Brazil while overseeing the two

business units, OLX and ZAP, with operations running through the offices in Rio

de Janeiro, São Paulo and regional branches. The combined entity will employ a

total workforce of approximately 1,600 employees focused on reinventing

Brazilians' consumption model, of which 400 are tech specialists.

Andries Oudshoorn, CEO of OLX Brazil, comments: "With this acquisition, OLX

Brazil strengthens its position in the Brazilian real estate market. Combining

with Grupo ZAP will enhance the end-to-end experience for our users,

professional customers and strategic partners. Our customers will benefit from

integrating DataZAP's data intelligence together with the existing high volume

of data from OLX real estate, which positions ZAP as an important source of

information with respect to the Brazilian real estate segment. The acquisition

will also drive value creation on other strategic verticals within OLX Brazil."

New structure of the Real Estate vertical

With the acquisition of Grupo ZAP, OLX Brazil takes a leading role in the

Brazilian online real estate market. Together, OLX, ZAP and Viva Real platforms

list 14 million real estate ads, with an average of 70 million visits per month

and more than 40,000 professional clients (real estate agents, brokers and

developers). In 2019, Grupo ZAP had net revenues of R$232.4 million and EBITDA

of R$-15.8 million, with an average of 28 million visits per month.  Despite the

negative impact of Covid-19, Grupo ZAP year-to-date revenues as of September

2020 are above those of 2019 for the same period, and the company is now already

EBITDA break-even.

The transaction reinforces the strategic importance and relevance of the real

estate segment for OLX Brazil and occurs at a time of accelerated digitalisation

and overall growth in this sector, driven by historically low interest rates

and attractive financing.

Andries Oudshoorn adds: "The offline marketing spend still represents about 70%

of the investments made by players in the Brazilian real estate market.

Therefore, we see huge potential for digitisation in this sector, with numerous

opportunities to create integrated solutions that make the experience of buying,

selling or renting properties simpler and safer."

Brian Requarth, founder of Viva Real and former chairman of Grupo ZAP, says:

"The real estate market is the largest asset class in the world, and is at the

beginning of its transformation. The combination of our strengths will bring the

Brazilian real estate market into the future. I am sure that OLX Brazil will be

able to leverage its strong technology culture and traffic position to

accelerate innovation and take ZAP to new heights."

-End-

Notes to Editor

About Adevinta

Adevinta is a global online classifieds specialist, operating digital

marketplaces in 15 countries. The company provides technology-based services to

connect buyers with sellers and to facilitate transactions, from job offers to

real estate, cars, consumer goods and more. Adevinta's portfolio spans 35

digital products and websites, attracting 1.5 billion average monthly visits.

Leading brands include top-ranked leboncoin in France, InfoJobs and Milanuncios

in Spain, and 50% of fast-growing OLX Brazil. Adevinta spun off from Schibsted

ASA and publicly listed in Oslo, Norway in 2019. Adevinta is majority owned by

Schibsted ASA and employs 4,700 people committed to supporting users and

customers daily. Find out more at Adevinta.com (https://www.adevinta.com/).

About OLX Group and Prosus

OLX Group is among the world's fastest-growing marketplaces networks, serving

more than 300 million people every month. Building leading destinations for

buying, selling, and exchanging products and services, it operates more than 20

consumer brands including Avito, letgo, and OLX. OLX Group's technology is

designed to enable safe and convenient transactions, encouraging reuse to help

give items second, third, or even fourth lives. It's estimated to facilitate

approximately 17 million trades every month, ranging from cars and furniture to

electronics and clothing. The Group is powered by a team of 6,000 people working

from 35+ offices around the world. For more information, visit www.olxgroup.com

(http://www.olxgroup.com).

OLX Group is the online classifieds business of Prosus, a global consumer

internet group and one of the largest technology investors in the world. Prosus

has a primary listing on Euronext Amsterdam (AEX:PRX) and a secondary listing on

the JSE Limited (XJSE:PRX), and is majority owned by Naspers. For more

information on Prosus and its companies and investments, please visit

www.prosus.com (http://www.prosus.com).

About OLX Brazil

In Brazil since 2010, OLX Brazil has the mission of empowering people to achieve

their dreams, reinventing the consumption model. The company is 100% digital and

does so through technology developed locally, helping its users to buy and sell

almost everything quickly, safely and conveniently. By encouraging reuse, OLX

Brazil contributes to the reduction of waste, CO2 emissions and encourages the

use of natural resources, giving items a second, third and even fourth life.

The acquisition involved the purchase of 100% of the shares of Grupo ZAP. OLX

Brazil shareholders continue to be two of the main global media and marketplaces

investment groups: Prosus NV (50%), listed on the Amsterdam stock exchange and

mostly controlled by Naspers Ltda, and Adevinta ASA (50%), listed on the Oslo

stock exchange and controlled by the Norwegian group Schibsted.`£

About Grupo ZAP

Grupo ZAP is the result of the merger of ZAPImóveis and Viva Real in 2017.

ZAPImóveis was created in 2000 and is indirectly owned by some of Grupo Globo's

shareholders  since 2013, while Viva Real, on its turn, was launched in 2009.

Grupo ZAP has the mission to transform the way the real estate market operates

through technology. With 26 offices across the country, it has a relevant

database in the market, developing products, intelligence, services and

information to generate gains and rightful decisions to parties involved.

Adevinta IR contacts

Marie de Scorbiac

Head of Investor Relations

+33 6 14 65 77 40

[email protected] (mailto:[email protected])

Adevinta Media contacts

Mélodie Laroche

Corporate Communications

+33 6 84 30 52 76

[email protected] (mailto:[email protected])

Prosus IR contact

Eoin Ryan

Head of Investor Relations

[email protected] (mailto:[email protected])

OLX Group / Prosus Media contact

Ana Garcia

Head of Communications OLX Group

[email protected]

This information is subject to the disclosure requirements pursuant to Section

5-12 the Norwegian Securities Trading Act