The South African Competition Tribunal has conditionally approved the proposed acquisition of MultiChoice Group Limited by French media giant Canal+, subject to an extensive package of public interest and competition-related commitments.
The decision allows Canal+ to acquire up to 100% of MultiChoice’s shares it does not already own—having previously built a stake of just over 45%. The Tribunal’s approval comes after a fast-tracked hearing in mid-July, where stakeholders including the Competition Commission, Department of Trade, Industry and Competition, Media Monitoring Africa, and Pambili Media raised concerns related to media diversity, ownership, and fair access.
Key Conditions Imposed
- No job losses in South Africa for at least three years as a result of the merger.
- LicenceCo, which holds MultiChoice’s broadcasting licence, will be carved out and remain locally owned, with majority shareholding going to Historically Disadvantaged Persons (HDPs) and workers through enhanced ownership by Phuthuma Nathi, new HDP shareholders, and an employee trust.
- Canal+ will not control LicenceCo, in compliance with broadcasting laws that restrict foreign control.
- Local content investment, HDP procurement, and support for small businesses will be ramped up, with confidential spending targets agreed.
- Corporate social initiatives like the DStv Diski Challenge and MultiChoice Talent Factory will receive additional funding.
- Support for South African content export and training under the Canal+ University Programme.
- Free-to-air rights to international sporting events involving South African teams must be offered to national broadcasters on fair terms.
- SABC News channel will continue to be carried by DStv for another five years on no less favourable terms.
While the Competition Commission supported the merger, the Tribunal enhanced several conditions to strengthen enforceability and monitoring.
The full set of conditions is binding, with implementation subject to oversight by the Commission.
