French media conglomerate Canal+ has cleared a major regulatory hurdle in its ongoing effort to acquire South African pay-TV and streaming giant MultiChoice Group, as the Competition Tribunal has granted conditional approval for the merger. The announcement marks a significant step forward in a deal that has been under review for more than a year.

According to Reuters, the Competition Commission concluded that the proposed acquisition is unlikely to result in a substantial lessening or prevention of competition within South Africa’s broadcasting market. However, it emphasized that the deal would be subject to a series of conditions aimed at addressing broader public interest issues.

In a statement released by the Commission, the regulatory body underscored the pivotal role that MultiChoice plays in the local audiovisual landscape. “In recognition of the important role played by [MultiChoice] within the broader audiovisual ecosystem in South Africa, and to address public interest concerns raised by various stakeholders, the Commission has recommended approval of the merger subject to a number of conditions,” it stated.

Per Reuters, the approval follows a series of strategic moves by Canal+ and MultiChoice designed to satisfy regulatory requirements. Earlier this year, in February, the two companies announced a significant restructuring of MultiChoice Group. This reorganization will separate MultiChoice (Pty) Ltd—also known as LicenceCo—from the rest of the group. LicenceCo, which holds the broadcasting license and manages contracts with South African customers, will become a standalone entity. The remainder of MultiChoice’s video entertainment business will continue under the main group’s umbrella.

In March 2025, Canal+ and MultiChoice opted to delay finalizing the deal by five months, citing the need for additional time to address concerns from regulators. This postponement appears to have paid off, with the Tribunal’s decision indicating growing institutional confidence in the transaction’s framework.

Source: Reuters