The Competition Tribunal is set to review the proposed acquisition of South Africa’s MultiChoice Group by French media conglomerate Canal+ on July 17 and 18, 2025. Canal+ aims to acquire MultiChoice, known for owning DStv, Showmax, SuperSport, and various other media properties, having reached South Africa’s mandatory ownership threshold of 35% in early 2024.
During the hearings, the Tribunal will hear submissions from various stakeholders, including the Competition Commission, Media Monitoring Africa, Pambili Media, and the involved parties. Representatives from South Africa’s Department of Trade, Industry, and Competition will also participate in the discussions.
In a statement, the Tribunal indicated that the Commission has recommended approval of the merger, but with certain public interest conditions attached.
A significant development occurred in March 2025 when South Africa’s communications regulator published an application to transfer Orbicom’s licenses to Canal+. As MultiChoice’s signal distributor, successfully transferring Orbicom’s electronic communication and radio frequency spectrum licenses is crucial for the merger’s progression. Orbicom submitted its applications on November 28, 2024.
The Independent Communications Authority of South Africa (ICASA) is currently reviewing the application, evaluating it against criteria that include promoting competition in the ICT sector, consumer interests, and equity ownership by Historically Disadvantaged Persons (HDPs). Icasa acknowledged Orbicom’s claim that HDPs hold a 40% share in Groupe Canal+.
Icasa has called for interested parties to submit written comments on the application within 14 working days of the announcement published on March 18, 2025, thereby setting a deadline for submissions by April 7, 2025.
The TRP’s report from May 2024 showed that Canal+ held 45.2% of MultiChoice’s shares. While making an offer was legally necessary, the transaction still faces regulatory scrutiny. To comply with broadcasting license requirements under the Electronic Communications Act, companies must limit Canal+’s voting rights to 20%.
To comply, MultiChoice will be separated into an independent entity named LicenceCo, which will hold the operational licenses in South Africa. This entity will manage contracts with MultiChoice’s South African subscribers, while the broader video media assets will remain with the MultiChoice Group. Ultimately, MultiChoice Group will maintain a 49% economic interest and a 20% share of voting rights in LicenceCo.
The companies clarified that MultiChoice Group will retain a 75% direct interest in MultiChoice South Africa, exclusive of LicenceCo. Phuthuma Nathi will also keep its 25% stake in MultiChoice South Africa. Moreover, LicenceCo will enter into various commercial agreements with subsidiaries of MultiChoice Group for services currently provided by other entities within the group, including content provision, technology, subscriber management, and support functions.
