Omanghana
The transaction marks the conclusion of a multi-year takeover process and reshapes the African media landscape by combining two major entertainment companies with operations spanning multiple continents.
MultiChoice, the parent company of DStv, GOtv, and streaming platform Showmax, will now operate as a wholly owned subsidiary of Canal+.
A Landmark Media Deal
The acquisition ranks among the largest cross-border media transactions in Africa.
Canal+ offered shareholders R125 per share for MultiChoice stock listed on the Johannesburg Stock Exchange (JSE). Since the French broadcaster had already accumulated approximately 45 percent of MultiChoice’s shares over the past several years, it only needed to purchase the remaining shares to secure full ownership.
The company spent roughly R35 billion (about $1.9 billion) to acquire the outstanding shares, completing the transaction and taking 100 percent control of the South African media group.
A Larger Global Footprint
The merger significantly expands the scale of the combined business.
According to David Mignot, the newly appointed Chief Executive Officer of Canal+ Africa and MultiChoice, the integration positions the company as a major international media player.
The combined group now includes:
- Operations across 70 countries in Europe, Africa, and Asia.
- More than 40 million subscribers worldwide.
- A global workforce of approximately 17,000 employees.
The enlarged footprint is expected to strengthen the company’s position in both traditional pay television and digital streaming markets.
Ownership Structure Meets South African Regulations
To comply with South Africa’s broadcasting ownership regulations, Canal+ adopted a new corporate structure that separates broadcasting licenses from the broader business.
Under the arrangement, MultiChoice’s South African broadcasting licenses have been transferred to a newly established entity known as LicenceCo.
LicenceCo will maintain at least 51 percent Black economic ownership, ensuring compliance with South African legislation governing broadcast license holders. Meanwhile, the wider operational and commercial business will remain fully integrated within the Canal+ Group.
Strengthening Competition in Africa’s Entertainment Market
The acquisition comes as Africa’s pay television industry faces growing competition from global streaming services such as Netflix and Amazon Prime Video, alongside pressure from rising household living costs.
By joining forces, Canal+ and MultiChoice are expected to benefit from greater international scale and stronger negotiating power when acquiring premium entertainment content.
The combined company is expected to leverage its larger subscriber base to secure international film and television rights, negotiate more competitive satellite infrastructure agreements, and compete more effectively for high-value live sports broadcasting rights.
Increased Investment in African Content
Canal+ has also pledged to expand investment in African creative industries following the merger.
The company plans to increase funding for locally produced films and television programming while accelerating improvements to Showmax as it competes in Africa’s rapidly evolving streaming market.
Industry analysts believe the acquisition could strengthen the continent’s media production ecosystem by providing additional resources for original African storytelling while enhancing the group’s ability to compete with international streaming platforms.
Source: Omanghana
