{"id":650107,"date":"2026-06-03T10:59:40","date_gmt":"2026-06-03T08:59:40","guid":{"rendered":"https:\/\/mybroadband.co.za\/news\/?p=650107"},"modified":"2026-06-04T08:30:29","modified_gmt":"2026-06-04T06:30:29","slug":"analysts-pour-cold-water-on-new-dstv-owners-listing-on-the-johannesburg-stock-exchange","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/broadcasting\/650107-analysts-pour-cold-water-on-new-dstv-owners-listing-on-the-johannesburg-stock-exchange.html","title":{"rendered":"Analysts pour cold water on new DStv owner’s listing on the Johannesburg Stock Exchange"},"content":{"rendered":"\n

Two South African financial analysts don’t believe local investors have much to be excited about with Canal+’s listing on the Johannesburg Stock Exchange (JSE).<\/p>\n\n\n\n

The French media giant listed on the JSE on 3 June 2026, while maintaining its primary listing on the London Stock Exchange.<\/p>\n\n\n\n

The secondary listing on the local bourse was one of the Competition Commission’s conditions of its acquisition of MultiChoice, which was delisted from the JSE shortly after the transaction. <\/p>\n\n\n\n

While up 18.82% over the past year, Canal+’s share price has taken a beating in the 2026 year-to-date, driven by unimpressive financial results in 2025.<\/p>\n\n\n\n

Before the announcement, a Canal+ share was trading at about \u00a32.96. By market close on the day of the announcement, it was down 24% to \u00a32.26.<\/p>\n\n\n\n

Over the next week, it would continue to plunge to around \u00a31.90, down 36% from before the results announcement. MultiChoice’s dismal showing contributed significantly to that decline.<\/p>\n\n\n\n

Canal+’s overall revenue increased to \u20ac8.67 billion with a \u20ac2.4 billion contribution from MultiChoice. However, MultiChoice’s revenue was down 6% from the previous year.<\/p>\n\n\n\n

That was due in part to its customer base shrinking by another 500,000 subscribers to 14.4 million. The broadcaster’s subscriber base peaked at 17.3 million in March 2023. <\/p>\n\n\n\n

MultiChoice already reported a cumulative loss of R7 billion in the two financial years before its takeover by Canal+. <\/p>\n\n\n\n

A large part of that could be attributed to more than R10 billion in trading losses due to its failed relaunch of Showmax, which Canal+ deemed an “expensive failure” and shut down at the end of April 2026.<\/p>\n\n\n\n

To turn the business around and return it to sustainable growth, Canal+ announced a plan to invest another \u20ac100 million (R1.9 billion) in MultiChoice. <\/p>\n\n\n\n

The company already spent R30 billion on acquiring the remaining shares in MultiChoice in 2025. That investment excluded the amounts it had spent on its initial 35% shareholding.<\/p>\n\n\n\n

AlphaValue told Reuters that the first quarter of MultiChoice’s consolidation and the details of its African development plan were unlikely to excite investors.<\/p>\n\n\n\n

Canal+ growth <\/h2>\n\n\n\n
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Financial analysts Aheesh Singh (left) and Jean-Pierre Verster (right).<\/figcaption><\/figure>\n\n\n\n

While Canal+’s share price had recovered to around \u00a32.50 by late May 2026, two local analysts still don’t believe the stock makes for an attractive investment.<\/p>\n\n\n\n

In a recent BusinessDay TV interview<\/a>, Protea Capital Asset Management’s Jean-Pierre Verster said he does not see Canal+ as a growth business.<\/p>\n\n\n\n

“I don’t necessarily see it as a great opportunity just because it will be listed on the JSE as well,” Verster said. <\/p>\n\n\n\n

“It will give people more choice, and that is positive, but it might be an opportunity to go long or short when it finally lists.”<\/p>\n\n\n\n

Going long generally refers to an investor buying and holding a stock or asset, believing that its price will increase.<\/p>\n\n\n\n

Shorting refers to borrowing a stock and selling it immediately, hoping its price will decrease, allowing the investor to buy it back at a lower price and return it to the lender.<\/p>\n\n\n\n

Simply put, Verster said it was unclear whether investors would find more value betting against Canal+ than from buying and holding its stock by the time it lists on the JSE.<\/p>\n\n\n\n

MP99 Capital Asset Management chief investment officer Aheesh Singh concurred with Verster’s view that Canal+ was not a growth stock. <\/p>\n\n\n\n

He believes that Canal+’s primary interest in MultiChoice was due to its high cash generation.<\/p>\n\n\n\n

“When you compare the MultiChoice South Africa margins, if you look at EBITDA margins, over the last five years they have sat at around 20%,” Singh said. “Canal+’s operating margins are half that.”<\/p>\n\n\n\n

“They have a lot of turnaround work to do regarding MultiChoice as a group and integrating all of their systems. There are better opportunities in the market right now.”<\/p>\n\n\n\n

\n\n\n\n

Canal+ share price on London Stock Exchange \u2014 2026 YTD<\/h2>\n\n\n\n
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<\/p>\n","protected":false},"excerpt":{"rendered":"

Two South African financial analysts don’t believe local investors have much to be excited about with Canal+’s listing on the Johannesburg Stock Exchange <\/p>\n","protected":false},"author":341042,"featured_media":650211,"comment_status":"open","ping_status":"closed","sticky":true,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24],"tags":[105528,21383,66933,105530,51705,105529,475,65523,66174],"class_list":["post-650107","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-broadcasting","tag-aheesh-singh","tag-canal","tag-groupe-canal","tag-jean-pierre-verster-2","tag-johannesburg-stock-exchange-jse","tag-mp99-capital-asset-management","tag-multichoice","tag-multichoice-south-africa","tag-protea-capital-management"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/650107"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/341042"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=650107"}],"version-history":[{"count":18,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/650107\/revisions"}],"predecessor-version":[{"id":651945,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/650107\/revisions\/651945"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media\/650211"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=650107"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=650107"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=650107"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}