Johannesburg - In two years shareholders of MultiChoice's black empowerment scheme, Phuthuma Nathi, have reaped more than R300 million in dividends.
The pay TV provider says in its latest annual report that shareholders will receive dividends worth R156 million this year, in addition to the R146.3 million they were paid last year.
About R125 million of the R156 million will service debt, while R31 million will be divided proportionally among the shareholders of the scheme as an ordinary dividend.
The money for black public investors is part of MultiChoice's proposed R780 million dividend for this year, up from R650 million last year.
The final payout is subject to shareholders' approval at the annual general meeting next week. Last year the dividend for Phuthuma Nathi shareholders was R146.3 million.
After paying the loan, the public shareholders were left with R29.3 million.
Naspers sold a 22.5 percent stake in MultiChoice, which also owns MWeb and M-Net/ SuperSport, to more than 120 000 black investors through the company's Phuthuma Nathi Investment Scheme.
The shares were worth R50 each, but the investors paid R10, meaning that they were given a R40 discount by Naspers through MIH Holdings, the holding company of MultiChoice.
This also means that Naspers has funded 80 percent of the deal, which is to be paid back through dividend flows.
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MultiChoice reported full-year net profit of R1.5 billion, boosted by growth in subscriber numbers.
The company signed up 178 000 new customers, taking its total subscriber list to 1.56 million.
MultiChoice will, for the first time in its 10 years of existence, face competition from newly licensed On Digital Media and Telkom Media, which are expected to start operating next year.
Phuthuma Nathi has warned shareholders that it might face "several challenges" because of the entry of these new competitors in the market.
Their expected entry has already produced an upward spiral in the price of content rights, thus squeezing operator margins.
Mandla Langa, the chairman of Phuthuma Nathi, says in the annual report that the costs of renewing sports rights for various sports are high.
Last year SuperSport bought the exclusive rights to broadcast game of the local Premier Soccer League for an estimated R1 billion.
Phuthuma Nathi shareholders can also benefit from the sale of MWeb, which is expected to be sold for between R1.4 billion and R2 billion.
This means that Phuthuma Nathi can get an estimated windfall of R400 million if Naspers decides to pay a special dividend.
MWeb intends to invest in wireless broadband infrastructure. It has also ventured into the cellular industry.
