Canal+ Offers $2.9B to Acquire MultiChoice

Currently, Canal+ already holds a majority stake in MultiChoice. Despite the rejection of its previous offer of $5.65 per share in February by MultiChoice’s board, Canal+ has revised its bid to $6.73 per share, payable in cash. This new offer values MultiChoice at approximately $3.8 billion.

The decision on whether MultiChoice shareholders will accept the revised offer remains uncertain, pending deliberation by the independent board formed for this deal. Furthermore, Canal+ faces challenges in meeting Black economic ownership requirements and adhering to restrictions on foreign media ownership in South Africa, which limit voting rights to 20%. Maxime Saada, chairman and CEO of Canal+ Group, has indicated that the company is exploring local partnerships to address these regulatory concerns.

In a potential development, Bloomberg reported in March that South African billionaire Patrice Motsepe, also the president of the Confederation of African Football, may join the bid to assist in meeting the black ownership requirement.

While MultiChoice has a stronger presence in English-speaking countries like South Africa and Nigeria, Canal+ has a broader influence in French-speaking African nations. This acquisition could significantly reshape the landscape of paid content distribution across the continent.


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