By Ayo Susan
French media conglomerate Canal+ has announced a €100 million turnaround plan aimed at restoring growth at MultiChoice Group, the African pay-television operator behind the DStv platform.
The strategy follows a difficult financial year for MultiChoice, during which the company lost approximately 500,000 subscribers, bringing its total customer base down to 14.4 million in 2025 from 14.9 million the previous year.
The decline also affected financial performance. Revenue fell 6 percent to €2.4 billion, while adjusted earnings before interest and tax dropped 14 percent to €159 million.
Canal+ completed its acquisition of MultiChoice in September 2025, assuming effective control of the continent’s largest pay-television platform.
DECISION HIGHLIGHT
Canal+ has unveiled a €100 million operational recovery plan to restore subscriber growth and improve profitability at MultiChoice after declining revenue and a 500,000-subscriber loss in 2025.
The strategy includes cost reductions, recruitment of more than 1,000 sales staff, simplified subscription packages and expanded local content production.
DECISION MEMO
The turnaround initiative reflects the structural disruption confronting Africa’s traditional pay-television industry.
For decades, satellite television platforms such as DStv dominated the continent’s premium entertainment market, providing access to international programming, live sports and regional television channels.
However, the industry’s economics have begun to shift as digital streaming platforms expand across African markets.
Streaming services have introduced new competition by offering on-demand viewing models that often require lower upfront equipment costs than satellite television systems.
The resulting shift in consumer behaviour has placed pressure on traditional subscription television businesses.
MultiChoice’s recent financial performance illustrates the scale of that challenge.
The company recorded 14.4 million subscribers in 2025, down from 14.9 million in 2024, indicating a contraction in its core customer base.
Revenue also declined to €2.4 billion, reflecting both subscriber losses and broader economic pressures across African markets.
Canal+ acknowledged that macroeconomic conditions have contributed to the downturn.
Currency depreciation in key markets such as Nigeria, combined with rising living costs and persistent electricity shortages, has reduced household spending on discretionary services such as pay-television subscriptions.
The group also identified operational inefficiencies within MultiChoice.
One major issue involved Showmax, the company’s streaming platform, where a key commercial partnership was described internally as an “expensive failure”.
Canal+ has since terminated that arrangement as part of efforts to streamline operations.
The new recovery plan attempts to address both revenue and cost challenges simultaneously.
On the revenue side, Canal+ intends to expand content offerings by combining international programming with increased investment in African-produced films, series and sports broadcasting.
The company also plans to simplify subscription packages and reduce entry costs for new customers by subsidising equipment such as decoders and satellite dishes.
At the distribution level, the strategy introduces a more aggressive sales approach.
More than 1,000 new sales personnel will be recruited across African markets in an effort to rebuild the subscriber base.
At the same time, Canal+ intends to implement cost-cutting measures, including a voluntary severance programme for certain support staff and a restructuring of Irdeto, MultiChoice’s technology and cybersecurity subsidiary.
These initiatives are expected to generate over €250 million in operational synergies by 2026, significantly higher than the company’s earlier estimate of €150 million.
Despite the turnaround plan, Canal+ expects the subscriber base to continue declining slightly in 2026, although at a slower pace.
The company forecasts that adjusted earnings before interest and tax could recover modestly to about €170 million as cost savings begin to offset lower revenues.
The transformation strategy highlights the strategic importance Canal+ assigns to the African media market following its acquisition of MultiChoice.
The company has indicated that it plans to pursue a secondary listing on the Johannesburg Stock Exchange before June 2026, reinforcing its long-term commitment to the region.
DATA BOX
Subscriber base 2024: 14.9 million
Subscriber base 2025: 14.4 million
Subscriber decline: 500,000
Revenue 2025: €2.4 billion
Revenue change: –6%
Adjusted EBIT 2025: €159 million
Projected EBIT 2026: €170 million
Turnaround investment: €100 million
Projected operational synergies by 2026: €250 million
Sales staff recruitment: 1,000+ employees
Cost of restructuring programme: €70 million – €100 million
WHO WINS / WHO LOSES
Content producers and African film and television studios could benefit from increased demand for locally produced programming.
Consumers may gain from simplified subscription plans and potentially lower entry costs for satellite television services.
However, employees within certain administrative and support functions could face workforce reductions under the restructuring programme.
Streaming platforms remain strong competitive beneficiaries as consumer viewing habits shift toward digital on-demand services.
POLICY SIGNALS
The restructuring highlights the increasing importance of digital media competition in Africa’s broadcasting sector.
It also signals growing consolidation within the continent’s media industry as international broadcasters acquire local platforms to scale operations.
Regulators may face renewed scrutiny regarding competition, market concentration and content regulation in the pay-television sector.
INVESTOR SIGNAL
Canal+’s acquisition and subsequent turnaround strategy underscore the long-term commercial value investors still see in Africa’s media and entertainment market.
The company’s plan to pursue a Johannesburg Stock Exchange listing suggests continued capital market engagement around the MultiChoice asset.
However, investors will closely monitor whether cost reductions and subscriber acquisition strategies translate into sustained revenue growth.
RISK RADAR
Structural competition from streaming platforms remains the most significant long-term risk to the pay-television model.
Macroeconomic pressures, including currency depreciation and declining household purchasing power in key African markets, may continue to limit subscriber growth.
Operational risk also persists as Canal+ integrates MultiChoice into its global media portfolio while implementing cost reductions and strategic restructuring.
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