The French broadcaster Canal+ Group has expanded its shareholding in MultiChoice from 12 per cent to over 15 per cent.
According to BMA sources, Canal+, which Vivendi owns, increased its stake in Africa’s largest pay-TV last year, sparking rumours that it may be looking to acquire MultiChoice. However, MultiChoice reportedly stated that it was maintaining an open mind about its relationship with the company.
MultiChoice stated in an earlier statement that “the group’s policy is not to comment on its shareholders or its relations with them.” The statement said, “The company remains dedicated to operating in the best interests of all shareholders and to creating sustainable long-term shareholder value.”
The Canal+ French television channels are owned by Groupe Canal+ SA, a French film and television studio and distributor including movies, sports, series, and news. The Straight Story, Mulholland Dr., and Inland Empire are just a few of the group’s popular films.
The acquisition of Nigerian production company ROK Studios by Groupe Canal+ is part of the corporation’s expansion into Africa. Vivendi attempted to buy MultiChoice Africa in the past, but the pay-tv operator turned down their multibillion-dollar offer. The corporation is currently stockpiling MultiChoice shares, which industry observers believe could imply that Canal+ intends to acquire the company.
MultiChoice is Africa’s leading entertainment company, operating four platforms: DStv, GOtv, Showmax, and DStv Now. It has around 14 million subscribers spread across 50 countries, with a stronghold in South Africa. So Canal+ SA’s African goals are ideally served by MultiChoice, which explains why it is investing in it.
MultiChoice said it had filed the required notice with the South African Takeover Regulation Panel. The Takeover Regulation Panel oversees the country’s takeover regulations, which reports to the Minister of Trade and Industry. Its purpose is to regulate mergers and acquisitions and to protect minority shareholders by ensuring that they have access to critical information during the process.