Connecting Africa is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 3099067.

Business of Tech

Canal+ makes new offer to MultiChoice

Article Image
French pay-TV company Canal+ has raised its offer to acquire all the shares that it does not already own in South African pay-TV and streaming company MultiChoice Group.

In a statement issued via the Johannesburg Stock Exchange (JSE), the companies said that, as the biggest shareholder in MultiChoice, Canal+ will offer 125 South African rands (US$6.55) per ordinary share after its previous offer of R105 ($5.50) per share was rejected last month.

On Monday, March 4, 2024, the French company said it will make a firm offer to MultiChoice after South Africa's Takeover Regulations Panel told it that its 35.01% shareholding in MultiChoice triggered a mandatory offer requirement.

In early February 2024, Canal+ offered R105 ($5.50) per MultiChoice ordinary share which represented a 40% premium on MultiChoice's closing share price on the JSE of R75 ($3.13) on January 31, 2024 – but MultiChoice believed the offer significantly undervalued the company.

"While the minimum price for the Mandatory Offer in terms of Regulation 111(2) of the Takeover Regulations is approximately R105 per MultiChoice ordinary share, Canal+ has agreed to increase the price to make the Mandatory Offer at a cash consideration of R125 per MultiChoice ordinary share," the joint statement said.

Canal+ is making another offer to MultiChoice because its 35.01% shareholding in the company triggered a mandatory offer requirement of SA's Takeover Regulations Panel.   (Source: Image by Freepik)
Canal+ is making another offer to MultiChoice because its 35.01% shareholding in the company triggered a mandatory offer requirement of SA's Takeover Regulations Panel.
(Source: Image by Freepik)

Furthermore, the companies said they intend to mutually co-operate in this regard, and MultiChoice will give customary exclusivity undertakings to Canal+.

"Once the Mandatory Offer is made, the Independent Board of MultiChoice will be constituted and will, after receipt of the Independent Expert's opinion, provide its opinion and recommendation on the Mandatory Offer in accordance with Regulation 110 of the Takeover Regulations," the companies added.

MultiChoice, the talk of the town

MultiChoice has been making headlines in recent times, and just last week, the company signed a distribution deal with Paramount Global Content Distribution. That deal will see streaming platform Paramount+ launched through the MultiChoice Group in Africa.

The company also signed a multi-year distribution deal with The Walt Disney Company Africa, allowing MultiChoice to retain its current portfolio of Disney linear channels until 2027.

MultiChoice partnered with US-based Comcast's NBCUniversal and UK-based Sky to create a pan-African streaming service in March 2023. That partnership led to the companies relaunching MultiChoice's video entertainment streaming offering Showmax and committing to investing heavily in the platform.

Related posts:

*Top image source: Image by freepik.

Matshepo Sehloho, Associate Editor, Connecting Africa

Innovation hub

Story

Four agritech startups to watch in 2024

Connecting Africa has compiled a list of four agritech startups that are making a difference in the communities they serve.

Story

Paymentology looks to strengthen its African roots

Global issuer-processor Paymentology's CEO Jeff Parker spoke to Connecting Africa about the company's African roots and aspirations to work with more banks, fintechs and enterprises both on the continent and globally.

More Innovation hub

Latest video

More videos

Partner perspectives

All Partner Perspectives

Sponsored video

More videos

Industry announcements

More Industry announcements

Upcoming events

Africa Tech Festival 2024
November 11-14, 2024
Cape Town, South Africa
More Upcoming events

Africa Tech Perspectives

Story

Uber's Marjorie Saint-Lot on inclusion and sustainability in Africa

Uber's Country Manager for Ghana and Cote d'Ivoire, Marjorie Saint-Lot, shares how the ride-hailing company is approaching public-private partnerships, environmentally friendly initiatives and gender inclusion in Africa.

Story

The 100 most influential African leaders in 2023

A new report from Africa Tech Festival and Connecting Africa puts a spotlight on the top 100 African leaders in the telecoms and technology sector in 2023.

Story

Deep dive into East Africa's tech startup ecosystem

New survey reveals a lack of access to investors, reliance on international VCs and global recession trends as the biggest barriers for East African tech startups to access funds.

More Africa Tech perspectives

Guest Perspectives

Story

Omdia View: February 2024

By Omdia Analysts

Highlights in February 2024 in the Middle East and Africa included 5G launches in Senegal and 5G trials in Egypt as well as Kenya's first 5G MVNO. Airtel also launched a new wholesale connectivity business while MTN and Huawei are planning a joint Innovation Technology Lab in South Africa – that and more in this month's Omdia View.

Story

Omdia View: January 2024

By Omdia Analysts

Highlights in January 2024 in the Middle East and Africa included a $200 million fintech deal between MTN and Mastercard as well as 5G network trials by Telecom Egypt – that and more in this month's Omdia View.

More Guest Perspectives

Like us on Facebook

Newsletter Sign Up


Sign Up
Tag id test-002