canal+ multichoice

French media giant Canal+ is on a steady march towards acquiring a significant stake in South African media powerhouse MultiChoice. Here’s a breakdown of the recent developments and the roadblocks ahead:

Canal+ Expands Ownership:

  • On May 14th, 2024, Canal+ announced acquiring an additional 7.3 million shares in MultiChoice through a mix of on-market and off-market transactions.
  • This ups Canal+’s ownership to 45.2% of MultiChoice’s total issued shares.
  • All acquisitions were reported to the Takeover Regulation Panel (TRP) as mandated by South African regulations.

Takeover Offer on the Table:

  • Canal+ has proposed to purchase all remaining MultiChoice shares for R125 per share.
  • This offer is currently under review by an independent board established by MultiChoice.
  • Canal+ has expressed its intention to potentially buy additional shares while the takeover offer remains active.
  • Any future acquisitions exceeding disclosure thresholds will be announced as required by law.

The 50% Ownership Hurdle:

  • Canal+ exceeding 50% ownership through incremental purchases is unlikely.
  • Such a move would trigger regulations classifying it as a merger, requiring approval from the Competition Tribunal.
  • MultiChoice previously stated that if Canal+ buys shares at a price higher than R125, they would have to increase their offer price to all shareholders accordingly.

Canal+ is demonstrably aiming for a significant stake in MultiChoice. While they might not reach 50% through piecemeal purchases, the existing offer and potential price hikes add complexity to the situation. The final outcome hinges on the MultiChoice board’s decision and potential interventions from the Competition Tribunal.

Follow Techspace Africa on Facebook and Twitter. For the latest news, tech news, breaking news headlines, reviews and live updates check out tech-space.africa


Nigel Jr.
As a tech enthusiast and expert, Nigel Jr. is dedicated to providing in-depth and insightful content on all things technology. With a background in online journalism, product reviewing, and tech creation, Nigel has become a trusted source for all things tech.

You may also like