Canal+ to make purchase offer for remaining MultiChoice shares before April 8

Canal+, the prominent French media company under Vivendi, has disclosed its intention to officially propose the acquisition of additional shares in the South African pay-TV company MultiChoice that it presently does not possess. The announcement is slated to be made no later than April 8, according to Canal+’s statement on Monday.

This development follows a recent ruling by South Africa’s Takeover Regulations Panel on Wednesday, which mandated Canal+ to promptly announce its firm intention due to its increased stake of 35.01% in MultiChoice back in February, triggering a mandatory offer requirement.

In response to the Panel’s decision, Canal+ expressed its respect and commitment to comply. The media group confirmed that it has sought and obtained an exemption from the Panel, allowing flexibility in adhering to the prescribed timing requirements. The Panel has subsequently extended the time frame by an additional 25 business days.

Having proposed an offer of 105 rand per share to acquire the remaining shares of MultiChoice last month, Canal+, being the largest stakeholder in MultiChoice, faced rejection as MultiChoice deemed the offer as significantly undervaluing the company.

MultiChoice acknowledged the recent announcement and affirmed that its board will persist in acting in the best interests of the company and its shareholders. Notably, shares in the company, recognized for its ownership of DStv and the on-demand video streaming platform Showmax, saw a positive uptick of 2.56% at 0840 GMT.