DLA Piper is advising MultiChoice, a South Africa-based pay-TV operator, on a USD1.9 billion mandatory offer by Canal+, a French broadcaster. The transaction, on completion, will create a leader in the entertainment sector with Africa as its focal point.

MultiChoice, listed on the Johannesburg Stock Exchange (JSE), is Africa’s largest pay-TV operator, running DSTV, a major satellite television service offering across Sub-Saharan Africa.

Canal+, owned by French media group Vivendi, hopes to expand their existing pan-African footprint with MultiChoice’s acquisition. Canal+ currently has about 31.5 million subscribers in over 50 countries. The acquisition will also allow the sharing of African content with global audiences – allowing it to compete on an international scale.

The transaction is dependent on customary regulatory approval for transactions of this nature.

The DLA Piper transaction team is being led by director, Charles Smith (Corporate). Corporate directors Peter Bradshaw, Johannes Gouws, Marita van der Walt, and Mark Chivers (partner, Corporate, London) associate Susan Bisset, Humayra Hajat, and associate designate Tevin Ramalu are also part of the team advising. Livia Dyer (IPT) is also acting on the matter on a joint mandate in relation to broadcasting and other regulatory issues.

Charles Smith, director in the Corporate practice in DLA Piper’s Johannesburg office, commented: “Working on matters of this scale and complexity, involving not just our corporate knowhow but also local ownership (B-BBEE) obligations, and sector-specific requirements, is what DLA Piper does best. This transaction for MultiChoice has far-reaching significance, not just in South Africa, but internationally.”