MultiChoice, one of the leading media companies in South Africa, has announced that its chairman, Imtiaz Patel, has resigned with immediate effect. Patel’s resignation comes after a recent announcement that he would step down in 2024. The company’s board has appointed Elias Masilela as Patel’s successor.
Three weeks ago, MultiChoice announced that Patel’s resignation had been put on hold so he could preside over negotiations with French media giant Groupe Canal+. This move came after Canal+ was compelled to make a mandatory offer to buy MultiChoice earlier this year when it exceeded the 35% shareholding threshold stipulated in the Companies Act.
Patel’s last-minute extension had reportedly caused rifts at the company, but MultiChoice stated that the decision was unanimous and that Patel would not receive any additional fees.
In a notice issued on 2 April, MultiChoice’s board said it believed there was significant benefit in continuity at that time, and Patel had agreed to extend his tenure until the conclusion of the Canal+ transaction or such sooner date as may be determined in light of progress on the transaction.
However, in today’s notice, MultiChoice said the plan was always for Patel to step down once certain milestones were reached. The company confirmed that Patel would remain involved with the group as a consultant as per the original announcement of his resignation on 11 September 2023.
When asked whether it would explain this more clearly and avoid negative press from its 2 April notice, MultiChoice said it would not because of regulatory processes requiring that things be done according to a set protocol.
