R53 Billion MultiChoice Takeover Approved: Canal+ Clears Major Hurdle with Competition Tribunal Nod
Johannesburg, South Africa - French media giant Canal+ has received a significant boost in its bid to acquire South African pay-TV operator MultiChoice, with the South African Competition Tribunal officially approving the R53 billion takeover. This landmark decision, announced today, marks a crucial step forward in what is set to be one of Africa's largest media deals, creating a combined entity with nearly 50 million subscribers across the continent.
The approval from the Competition Tribunal follows a positive recommendation from South Africa's Competition Commission and concludes the competition review process in the country. This brings Canal+ significantly closer to realizing its ambition of full control over MultiChoice, which operates DStv and Showmax.
Key Conditions and Public Interest Commitments:
The approval, however, is not unconditional. It is subject to a robust package of public interest commitments agreed upon by both Canal+ and MultiChoice. These conditions are designed to safeguard South African interests and include:
What's Next? Remaining Hurdles and Timeline
While the Competition Tribunal's approval is a major victory, the transaction is not yet fully complete. The companies still need to secure approvals from:
ICASA's approval is particularly crucial as it regulates the country's communications and broadcasting sectors and must clear the transfer of the broadcasting licence to LicenceCo before the acquisition can be finalised.
Both Canal+ and MultiChoice have expressed confidence in completing the transaction by the previously communicated "long-stop date" of October 8, 2025. They have assured subscribers that services will not be disrupted during the ongoing regulatory processes.
Maxime Saada, CEO of Canal+, hailed the approval as "a hugely positive step forward in our journey to bring together two iconic media and entertainment companies and create a true champion for Africa." MultiChoice Group CEO Calvo Mawela echoed this sentiment, calling it a "significant milestone" and a "major step forward for both companies."
This acquisition is set to reshape the African media landscape, with the combined entity poised to better compete with global streaming giants while adhering to South Africa's vital localisation and empowerment policies.
Bashajobz.co.za will continue to provide updates as this major transaction progresses.
The Independent Communications Authority of South Africa (ICASA)
The Takeover Regulation Panel
The Johannesburg Stock Exchange (JSE)
The Financial Surveillance Department
Broadcasting Licence Compliance: To adhere to South Africa's foreign ownership restrictions in broadcasting (which caps foreign entities at 20% voting rights in broadcasting licensees), MultiChoice (Pty) Ltd – the entity that contracts with South African subscribers and holds the broadcasting licence – will be carved out of the MultiChoice Group. This newly formed independent entity, referred to as "LicenceCo," will be majority-owned and controlled by HDPs, including existing Phuthuma Nathi shareholders (who will hold a 27% economic interest), Identity Partners Itai Consortium, Afrifund Consortium, and a Workers' Trust (ESOP). MultiChoice Group will retain a 49% economic interest and 20% voting rights in LicenceCo.
Job Protection: Commitments have been made to protect existing jobs for South African employees for a minimum of three years following the merger.
Maintenance of Local Content Funding: Guaranteed funding for local South African general entertainment and sports content will continue, ensuring the vibrant domestic content creation ecosystem is supported.
Support for Historically Disadvantaged Persons (HDPs) and Small, Micro and Medium Enterprises (SMMEs): The deal will promote the participation of firms controlled by HDPs and SMMEs in South Africa's audio-visual industry.