MultiChoice Rejects Canal+’s Acquisition Offer, Citing Undervaluation

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MultiChoice Group Ltd, a leading pay TV provider, has officially declined a non-binding acquisition offer from Vivendi SE’s Canal+. The proposed offer, valuing MultiChoice shares at R105 each, was deemed inadequate by the company, as it undervalued its shareholdings. In a statement posted on its website, MultiChoice emphasized its commitment to maximizing shareholder value but asserted that the proposed price did not warrant further engagement with Canal+.

Highlighting its openness to exploring opportunities that benefit shareholders, MultiChoice’s board expressed willingness to engage with any party offering a fair price and subject to appropriate conditions. The company stressed that the current offer failed to account for potential synergies arising from the proposed transaction, which must be considered in any fair offer made by Canal+.

In adherence to takeover regulations, MultiChoice affirmed its intent to act in accordance with its duties and obligations. Additionally, the company informed shareholders of its intention to limit the aggregate voting power of shares held by foreigners to South Africa to comply with statutory requirements.

Canal+’s offer, presented on February 2, aimed to acquire all remaining shares in MultiChoice Group for approximately $1.7 billion. Initially holding a 31.67 percent stake, Canal+ has increased its ownership to 35.01 percent following the announcement of the offer. Despite this, MultiChoice remains steadfast in its decision to reject the proposal, prioritizing fair valuation and shareholder interests.


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