Groupe Canal+ has significantly increased its shareholding in South Africa’s MultiChoice Group in recent days, bringing its ownership closer to the 50% mark. These developments signal Groupe Canal+’s continued pursuit of acquiring control of MultiChoice, the parent company of prominent brands such as DStv, Showmax, and SuperSport.
Recent Share Purchases
- Between April 12 and April 17, Groupe Canal+ acquired millions more shares of MultiChoice, totaling 3.65 million shares.
- Transactions included on and off-market purchases, with average considerations ranging from R115.95/share to R117.50/share.
Current Ownership and Future Plans
Following the recent purchases, Groupe Canal+ now holds 40.83% of MultiChoice shares in issue, inching closer to the 50% mark.
Canal+ has expressed its intention to potentially acquire further MultiChoice shares as it continues its pursuit of controlling the company.
The French company plans to offer MultiChoice shareholders R125/share in cash as part of its takeover bid.
Cooperation Agreement and Offer Conditions
Groupe Canal+ and MultiChoice have entered into a cooperation agreement to facilitate the mandatory offer to MultiChoice shareholders.
The agreement outlines cooperation efforts in fulfilling offer conditions and the publication of a combined offer circular.
Regulatory approvals remain a crucial aspect of the deal, with a long-stop date set for April 8, 2025, which can be extended with regulatory consent.
Potential Delisting and Future Listing
Should the takeover proceed, MultiChoice may be delisted from the JSE if Groupe Canal+ acquires at least 90% of eligible MultiChoice shares.
However, there may be an opportunity for South African investors to participate in Groupe Canal+’s proposed listing in Europe, offering an alternative investment avenue.
Groupe Canal+’s increased stake in MultiChoice underscores its commitment to acquiring control of the company, signaling potential changes in the South African media landscape. As the cooperation agreement progresses and regulatory hurdles are navigated, stakeholders await further developments in this evolving takeover saga.
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