MultiChoice Group’s board has rejected a bid by France’s Groupe Canal+ to buy out the JSE-listed broadcaster.
Browsing: Canal+
The French broadcaster has claimed it can work around local ownership rules. Experts don’t necessarily agree.
A deal will be exceptionally difficult – if not impossible – to get over the line. So, why is Canal+ pursuing control of MultiChoice?
Canal+, the company with French roots and global reach, has a similar history to South Africa’s MultiChoice Group.
MultiChoice has disclosed details of the monetary investment it and partner Comcast are making in Showmax.
Canal+ said it expects to offer R105/share for MultiChoice, or a 40% premium to the closing price on 31 January.
MultiChoice Group said it is open to US media giant Comcast acquiring a larger stake in its video streaming platform, Showmax.
Broadcast ownership rules that limit foreign ownership of commercial South African broadcasters to 20% may be amended.
French broadcaster Canal+ could eventually invest $300-million in PCCW-owned streaming platform Viu.
Canal+ has increased its stake in MultiChoice to 31.7%, taking it closer to a potential mandatory offer to other shareholders.