Canal+ and MultiChoice: A Tumultuous Acquisition Saga

French media giant Canal+, owned by Vivendi SE, has had its sights set on South Africa’s MultiChoice for a while now, leading to a complex and ongoing acquisition attempt. Let’s break down the key events:

The Initial Interest

  • Steady Stake Building: Over time, Canal+ gradually increased its stake in MultiChoice.
  • Trigger Point (2022): Canal+ surpassing the 35% ownership threshold triggered South Africa’s mandatory offer regulations, requiring them to make a formal offer to acquire MultiChoice.

Offer and Rejection

  • The First Offer (2023): Canal+ made a non-binding offer, which MultiChoice’s board swiftly rejected, citing undervaluation of the company.

  • The Increased Bid (2024): Following a ruling by South Africa’s Takeover Regulation Panel, Canal+ upped its bid, demonstrating its continued determination to acquire MultiChoice.

The outcome of this acquisition attempt remains uncertain. Here are some factors adding to the complexity:

  • Regulatory Hurdles: South African laws restrict foreign ownership of broadcasters, creating a potential roadblock.
  • Competition Concerns: Regulators might scrutinize the deal due to potential impacts on market competition.
  • Shareholder Sentiment: MultiChoice’s shareholders will have a say in whether any revised offer is accepted.

Impact on the Market

The Canal+ and MultiChoice saga highlights the growing interest in Africa’s pay-TV market. The outcome of this acquisition attempt could significantly reshape the competitive landscape and potentially signal future consolidation moves.


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