Groupe Canal+’s deliberate acquisition of South Africa’s MultiChoice Group has been hit by a delay as the businesses work to beat the regulatory hurdles.
The businesses have prolonged the so-called “lengthy cease date” for the transaction by 5 months to provide them extra time to persuade regulators to permit the deal to proceed.
Canal+, which is headquartered in France and which was lately listed on the London Inventory Alternate, has supplied MultiChoice shareholders R125/share in money.
“The method of acquiring merger management clearance from the South African competitors authorities and the related regulatory processes is ongoing. These won’t be full by the lengthy cease date of 8 April 2025, which is the date on which all of the situations for the implementation of the supply should be fulfilled or waived,” the businesses stated.
“Accordingly … Canal+ has prolonged the lengthy cease date for the fulfilment of the situations to eight October 2025. MultiChoice and Canal+ are of the view that this supplies ample time for the fulfilment of the situations. Save for the extension of the lengthy cease date, the phrases of the supply stay unchanged,” they added.
Maxime Saada, CEO of Canal+, stated in a press release that the choice to increase the lengthy cease date “displays our recognition of the exhausting work and optimistic progress achieved by all of the events and stakeholders in working in the direction of securing the required clearances for this transformative transaction”.
‘Timing is important’
“The timing of this transaction is important, and we are going to proceed working tirelessly to make sure finalisation of the transaction inside this timeframe to make sure it retains its supposed worth and impression for all stakeholders,” he stated.
In an effort to get the acquisition over the road, MultiChoice — which owns DStv, SuperSport and Showmax — final month introduced a plan to carve out its South African licensee into a brand new entity.
Learn: The darkish horse in SA streaming – and Canal+ is an enormous investor
The transfer is designed to permit Canal+ to proceed with the acquisition with out falling foul of the Digital Communications Act, which prohibits overseas entities from proudly owning greater than 20% of a South African broadcasting licensee.
If it will get the go-ahead from regulators, new buyers within the South African licensee will embody former Telkom CEO Sipho Maseko’s Afrifund Investments and businesswoman Sonja de Bruyn’s Id Companions.
“MultiChoice Group will probably be restructured in order that the present holder of the broadcasting licence in South Africa and the entity that contracts with South African subscribers, MultiChoice (Pty) Ltd, will probably be carved out of MultiChoice Group and can turn into an impartial entity… The rest of the group’s video leisure property will stay a part of MultiChoice Group,” Canal+ and MultiChoice stated.
Learn: MultiChoice CEO says Canal+ deal will assist it tackle Netflix
The South African broadcast licence holder, referred to as LicenceCo, will “proceed to carry the subscription broadcasting licence in South Africa” and can proceed to “contract with MultiChoice’s South African subscribers”. Will probably be majority owned by “traditionally deprived individuals”. – © 2025 NewsCentral Media
Get breaking information from TechCentral on WhatsApp. Enroll right here.
Don’t miss:
Canal+ buyout: Sipho Maseko to put money into MultiChoice entity
