Canal+ must make mandatory offer for Multichoice

Decision follows Canal increasing its stake in Multichoice to 35.01 per cent, which is above the 35 per cent threshold where a mandatory offer is required

By Jenny Priestley

Published: February 28, 2024 Updated: February 29, 2024

Decision follows Canal increasing its stake in Multichoice to 35.01 per cent, which is above the 35 per cent threshold where a mandatory offer is required

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French broadcaster Canal must make an immediate offer for South Africa's Multichoice after triggering its mandatory offer clause, the country's Takeover Regulation Panel has ruled.

Earlier this month Multichoice rejected the $1.7 billion bid by Canal to acquire the stake in the company that it doesn't already own.

At the time of the offer, Canal owned a 31.67 per cent stake at the time which rose to 35.01 per cent shortly afterwards, reaching the 35 per cent threshold where a mandatory offer is required.

Multichoice rejected the offer stating it significantly undervalued the group. It referred the offer to the Takeover Regulation Panel, which has now ruled that Canal must take immediate action to comply with the requirements of.. the (Companies) Act and the regulations by making a mandatory offer to the remaining shareholders of MultiChoice.

The panel also ruled that Multichoice's public disclosure of the initial $1.7 billion offer was unlawful and issued a compliance notice against the broadcaster. MultiChoice is expected to appeal that decision.

LINK:	https://www.tvbeurope.com/business/canal-must-make-mandatory-offer-for...
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