Canal+, a prominent French media company, has continued its aggressive share acquisition spree in MultiChoice, a South African company, taking its ownership to 41.59% with the latest purchase of 3,374,668 shares. This follows closely after boosting its stake to over 40% recently. MultiChoice has acknowledged Canal+’s persistent acquisitions and noted that the Takeover Regulation Panel (TRP) has been informed, complying with legal requirements. The shares purchased from April 18 to April 24 had a price tag between R115.99 and R117.59, with an important clause stipulating that if Canal+ were to buy shares above R125, the offer price would be adjusted upwards. These acquisitions fuel the concerns of a potential merger, taking into account that surpassing a 50% ownership would necessitate Competition Tribunal’s approval under merger regulation laws. Canal+, having already doubled its stake since 2020, continues its shopping spree despite regulatory concerns regarding the Electronic Communications Act (ECA) in South Africa. Moreover, the backdrop of these financial moves includes a ‘cooperation agreement’ and the departure of former MultiChoice Chairman Imtiaz Patel who was on an extended contract supposedly to oversee the completion of the acquisition process, with Elias Masilela stepping into the chairman role. The unfolding dynamics point towards a strategic reshaping of MultiChoice’s ownership and management structure with Canal+’s growing influence.

Media & Entertainment, Investment & Mergers and Acquisitions,France, South Africa