Whispers Of Potential Takeover Of Multichoice By Groupe Canal+ Strengthen
Following the announcement that Groupe Canal+, the giant France based media conglomerate, has acquired additional Multichoice shares - holding now increased to 12 from 6.5 per cent - talk in the analysts and experts circles is whether a takeover of Multichoice is in the offing.
It is, of course, no secret that the Groupe Canal+ - which is already active in the broadcast media spaces across French-speaking Africa - is eager to spread its tentacles into other parts of the continent and its acquisition of ROK studios, experts say was proof of this.
Industry watchers also agree that should the Vivendi owned Groupe Canal+ really wants to establish itself as de facto in Africa, buying up Multichoice Africa will be the logical thing to do. Afterall, Multichoice Africa is said to have about 14 million subscribers on the continent and has a leadership position in the lucrative South African market. It is worth recalling that Vivendi has previously tried to buy Multichoice.
According to reporting MyBroadband, there have been recent internal high-level meetings between both organisations, possibly to open exploratory discussions on a potential acquisition.
Analysts watching the space also point to the related notices that Multichoice has submitted to the South African Takeover Regulation Panel (a government agency) as well as the strong performance of the company share price in the last month.