Development Alert: Canal+ Has Until Early April To Make A Mandatory Offer To Acquire DStv And GOtv Parent Company, MultiChoice

Shareholders are referred to the announcement released on the Stock Exchange News Service on 28 February 2024, informing the market of a ruling by the Takeover Regulation Panel (“TRP”) that required Groupe Canal+ SA (“Canal+”) to make an immediate mandatory offer to all ordinary shareholders of MultiChoice in terms of section 123 of the Companies Act, No. 71 of 2008. MultiChoice notes the announcement made today by Canal+ that the TRP has granted it an extension of 25 business days, until 8 April 2024, to make the required mandatory offer. 

The MultiChoice board of directors (“the Board”) will continue to act in the best interests of the 

Company and its shareholders. Shareholders will be updated should there be any further 

developments.

The Board accepts responsibility for the information contained in this announcement as it relates to the Company and confirms that, to the best of its knowledge and belief, such information relating to the Company is true and that this announcement does not omit anything likely to affect the importance of such information. 

Important notice 

Shareholders should take note that, pursuant to a provision of the MultiChoice memorandum of 

incorporation, MultiChoice is permitted to reduce the voting rights of shares in MultiChoice (including MultiChoice shares deposited in terms of the American Depositary Share ("ADS") facility) so that the aggregate voting power of MultiChoice shares that are presumptively owned or held by foreigners to South Africa (as  envisaged in the MultiChoice memorandum of incorporation) will not exceed 20% of the total voting power in MultiChoice. This is to ensure compliance with certain statutory requirements applicable to South Africa. For this purpose, MultiChoice will presume in particular that:

• all MultiChoice shares deposited in terms of the MultiChoice ADS facility are owned or held 

by foreigners to South Africa, regardless of the actual nationality of the MultiChoice ADS 

holder; and

• all shareholders with an address outside of South Africa on the register of MultiChoice will be deemed to be foreigners to South Africa, irrespective of their actual nationality or domicilium, unless such shareholder can provide proof, to the satisfaction of the MultiChoice board, that it should not be deemed to be a foreigner to South Africa, as envisaged in article 40.1.3 of the MultiChoice memorandum of incorporation.

Shareholders are further referred to ruling issued by the Takeover Regulation Panel on 27 February 

2024, which ruling deals with the MultiChoice memorandum of incorporation. Shareholders can access the ruling on the Company's website at https://www.investors.multichoice.com/regulatory.php. 

If shareholders are in any doubt as to what action to take, they should seek advice from their broker, attorney or other professional adviser

Recap To Last Year: Could SABC Lehae Launch On Openview As A Replacement To e.tv's News And Sport Alongside SABC Variety?

In 2021, SABC and eMedia Investments extended their agreement which led to additions like SABC Sport and SABC's 19 radio stations on the Openview platform. There was also promises for two entertainment channels to accompany the existing SABC 1-3.

These channels were also slated to launch within that year but since then SABC and eMedia Investments had gone rogue that doesn't mean there wasn't any noteworthy material.

During that long arrival of more TV channels, SABC Lehae was born which serves as the second news channel by the public broadcaster following SABC News. It offers news in indigenous languages by that I mean similar to most channels rehash content from SABC 1-3.

This was followed by SABC Variety which serves as a revival/replacement to the defunct SABC Encore brand on DStv. Unlike its previous iteration, SABC Variety also serves as a catch-up channel especially with sporting events.

For a while now, there has been a lot of commotion as to whether these could be the long awaited channels for Openview consumers. As both explore the public broadcaster's archived material aka repeats as they clearly highlighted for these new channels.

SABC Lehae would prove to be somewhat useful following the cancellation of News And Sport. Consumers were left without without a decent local news channel while SABC Sport fills up the sports and the channel would basically be rivalling with eNCA and Newsroom Afrika.

SABC Variety would serve as complimentary offering to Power Up when consumers miss out on shows. Similar to ePlesier and the former Rewind, the channel would invite nostalgia to viewer's screens.

Development Alert: Could France24 Be The Next Channel To Exit The Openview Platform?

France24 is a French based news station operated by the local government. Based in France, it would offer news and current affairs aimed at the French market while as catering to other languages such as Spanish, English and Arabic. 

Since 2017, France24 was currently functional on the Openview platform after eMedia Investments silently axed the British based brand BBC News. It garnered backlash from various consumers with some not viewing it in the same league as the former BBC channel.

This past week, a viewer had browsed the TV Guide for France24 and noticed that the channel's programme guide ends by 3 March while other channels still provide a full week line-up. It led to further speculation that eMedia Investments could be looking to axe France24.

In eMedia Investments last financial records, they promised to launch a few more channels before 31 March 2024. None of which materialized in 2023 with the company down to a few weeks before the start of a new cycle.

With the possible closure of France24, consumers would be expecting a replacement as it was the only liable source of news following the demise of e.tv News And Sport. Those wishing to view the channel would have to get Starsat and pay R150 monthly. 

Recap To Last Month: BBC Studios Buys ITV's Britbox International Share

BBC Studios is taking full ownership of BritBox International, acquiring ITV’s 50% share for a cash consideration of £255 million.

Launched by BBC Studios and ITV in 2017, British specialist streaming service, BritBox International delivers British scripted content to North America and select markets. The service now has over 3.75 million subscribers and has an enterprise value of around £500 million.

As part of the transaction, BBC Studios has extended its licensing agreements with ITV “ensuring that programming for BritBox International will continue to represent a wide range of British content.”

ITV-owned BritBox UK is unaffected by the deal and will still feature BBC content as part of separate long-term agreements.

Tom Fussell, BBC Studios CEO said: “This is an important acquisition for us. We are taking full ownership of a successful, growing service we know well and that fits with our stated ambition to double the size of our business. Britbox International has British content at its heart and it generates and satisfies demand for British shows outside the UK. We will continue to make significant investments in the future to deliver long term value to the BBC.”

Carolyn McCall, ITV CEO said: “The sale of 50% of BritBox International means ITV is focused on its core strategic goals of continuing to build on ITVX’s success and growing ITV Studios.”

BritBox International will become part of BBC Studios’ Global Media and Streaming division, complementing its portfolio of digital and direct-to-consumer services that includes BBC.com, BBC Select, the BBC’s premium ad-free documentary streaming service in North America and BBC Podcast Premium, an audio service available in more than 160 countries.

Rebecca Glashow, BBC Studios Global Media & Streaming CEO said: “I am thrilled to further our involvement in BritBox International – it’s a profitable business and a winning proposition. We see tremendous opportunity to grow this unique service and take it to even greater heights for its subscribers, with the full power of the BBC behind it.”

Following BritBox International’s move into BBC Studios’ Global Media & Streaming division, its global CEO Reemah Sakaan is stepping down. Sakaan has been with the outfit since the start and has been CEO for the past three years.

Tom Fussell BBC Studios CEO said: “I’d like to thank Reemah for her outstanding contribution to BritBox International, which under her stewardship has seen remarkable year-on-year growth. Her passion and dedication has helped create a great culture and build a business that is loved by audiences and that has real momentum.”

Carolyn McCall, ITV CEO said: “I would like to thank the BritBox International team for making the company such a success and particularly CEO Reemah Sakaan for her leadership, drive and vision.”

New leadership plans are “in place” and will be announced “imminently.”

BritBox International is available in the USA, Canada, Australia, South Africa, Denmark, Finland, Norway and Sweden. Recent hits include Archie, Death in Paradise, Father Brown, Line of Duty, Sherwood and Shetland.

Could Netflix Become The Exclusive/Future Home Of Nickelodeon?

During the year, it was reported that WWE would be exiting linear television by 2025 with Raw, SmackDown and NXT alongside premium live events like WrestleMania and SummerSlam would be streaming exclusively on Netflix with more countries to be added soon.

This has boosted the media's interest on the streamer with some curious about what other projects the brand has in the pipeline. One of the brands I wouldn't really be shocked to see get purged soon would be Nickelodeon.

Nickelodeon is an international children's brand operated by Paramount Global. Since it's inception had brought animated shows like SpongeBob SquarePants, The Loud House and Legend Of Korra alongside live-action shows like Drake & Josh, iCarly and The Thundermans.

As some readers are aware, Netflix and Nickelodeon have co-produced shows like Pinky Malinky, Glitch Techs and the upcoming live-action series for Avatar: The Last Airbender. On top of distributing films like Invader Zim: Enter The Flopus and Rocko's Modern Life: Static Cling.

There was a point in time when Netflix was looking to acquire Paramount's studios before negotiations fell flat. Not long ago, Paramount announced that they'd be laying off 800 employees due to the effects of streamlining with fear lurking around their linear offering.

With WWE leaving linear television, the idea of more content being purged to streaming particularly Nickelodeon wouldn't seem far fetched a stretch. Disney had closed several channels across the world as most of their content gets integrated with Disney+.

Netflix has been doing a lot of quality control in recent months and looking to get decent content. They recently filmed a live-action series to popular anime One Piece and acquired exclusive rights to The Casagrandes Movie and The Fairly OddParents: Make A Wish.