Canal+ and MultiChoice agree to buyout deal

Canal+ Group has made a mandatory offer to buy all the shares in MultiChoice it doesn’t already own for 35 billion rand (€1.7 billion).

The 125 rand per share is a significant uptick on the initial 105 rand offer made by the Vivendi unit on February 1, which the Johannesburg-based pay-TV platform had rejected.

Once Canal had passed the 35% ownership threshold it was obliged to make a further offer.

The combined company will have a presence in both the French and English-speaking markets. While Canal naturally has a hold over French-speaking African nations, MultiChoice has a stronger presence in English-speaking countries, including South Africa, Nigeria and Kenya.

Canal said MultiChoice would become part of a global entertainment leader with Africa at its heart.

“Through combining our companies, we will be well positioned to invest even more in local productions and sports content, supporting the world-leading and vibrant creative ecosystem on the African continent and all over the world, and producing even more high-quality and compelling local stories,” said Maxime Saada, Chairman and CEO of CANAL+ Group.

The new offer and final terms will be subject to the normal regulatory considerations. World Screen