Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News

      Vodacom’s Maziv deal gets makeover ahead of crucial hearing

      18 July 2025

      Cut electricity prices for data centres: Andile Ngcaba

      18 July 2025

      Takealot taps Mr D to deliver toys, pet food and future growth

      18 July 2025

      ‘Oh, Ani!’: Elon’s edgy bot stirs ethical storm

      18 July 2025

      Trump U-turn on Nvidia spurs talk of grand bargain with China

      18 July 2025
    • World

      Grok 4 arrives with bold claims and fresh controversy

      10 July 2025

      Samsung’s bet on folding phones faces major test

      10 July 2025

      Bitcoin pushes higher into record territory

      10 July 2025

      OpenAI to launch web browser in direct challenge to Google Chrome

      10 July 2025

      Cupertino vs Brussels: Apple challenges Big Tech crackdown

      7 July 2025
    • In-depth

      The 1940s visionary who imagined the Information Age

      14 July 2025

      MultiChoice is working on a wholesale overhaul of DStv

      10 July 2025

      Siemens is battling Big Tech for AI supremacy in factories

      24 June 2025

      The algorithm will sing now: why musicians should be worried about AI

      20 June 2025

      Meta bets $72-billion on AI – and investors love it

      17 June 2025
    • TCS

      TCS+ | Samsung unveils significant new safety feature for Galaxy A-series phones

      16 July 2025

      TCS+ | MVNX on the opportunities in South Africa’s booming MVNO market

      11 July 2025

      TCS | Connecting Saffas – Renier Lombard on The Lekker Network

      7 July 2025

      TechCentral Nexus S0E4: Takealot’s big Post Office jobs plan

      4 July 2025

      TCS | Tech, townships and tenacity: Spar’s plan to win with Spar2U

      3 July 2025
    • Opinion

      A smarter approach to digital transformation in ICT distribution

      15 July 2025

      In defence of equity alternatives for BEE

      30 June 2025

      E-commerce in ICT distribution: enabler or disruptor?

      30 June 2025

      South Africa pioneered drone laws a decade ago – now it must catch up

      17 June 2025

      AI and the future of ICT distribution

      16 June 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • Iris Network Systems
      • LSD Open
      • NEC XON
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Wipro
      • Workday
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Broadcasting and Media » MultiChoice jumps on JSE debut

    MultiChoice jumps on JSE debut

    By Loni Prinsloo27 February 2019
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp

    MultiChoice Group soared 16% in debut trading in Johannesburg as the pan-African pay-TV company embarks on a new era of independence following a spin off by technology giant Naspers.

    The shares traded at R111.12 as of 11am on Wednesday, valuing the company at almost R50-billion. That’s the biggest listing in the city since Steinhoff International Holdings unbundled its Africa retail operations, now known as Pepkor Holdings, almost 18 months ago. The shares first traded at R95.50, valuing it at about R42-billion.

    “We are happy with where the share opened and how it is trading,” MultiChoice chief financial officer Tim Jacobs said in an interview at the local stock exchange. “We expect it to settle down in the next three months.”

    We are happy with where the share opened and how it is trading. We expect it to settle down in the next three months

    The move creates an Africa-focused company free from Cape Town-based Naspers, which has expanded around the world since making a blockbuster early investment in Chinese giant Tencent in 2001. MultiChoice broadcasts live sport such as English Premier League soccer, global hit dramas like Game of Thrones and locally produced content, and services about 14 million households.

    “We have identified about 40 million additional subscribers that could be signed on in the middle income and mass market,” Jacobs said. About half the company’s current customer base is in South Africa, and the focus after listing will be to accelerate growth on the rest of the continent, he said.

    Challenges

    MultiChoice faces challenges from cheaper online alternatives — including Netflix — which have sprung up alongside rising African household incomes and faster Internet speeds. To compete, the company is pushing its own video-on-demand service, Showmax, and a mobile app for the TV footage, the CFO said.

    Naspers is seeking to realise value from its myriad assets to help narrow the difference between its US$129-billion stake in Tencent and the lower value of the company as a whole. The spin-off of MultiChoice is also an attempt to reduce its dominance of the JSE, where it made up about 18% of the benchmark index before the listing. The stock has declined 5.3% in past 12 months, valuing the company at R1.4-trillion.

    MultiChoice’s valuation could eventually settle at about $5-billion to $6-billion (R69-billion to R83-billion), according to Bloomberg Intelligence analyst John Davies. The company has about R4-billion in cash and R4-billion in undrawn facilities, so didn’t need to raise cash from the listing, Jacobs said.  — Reported with assistance from Renee Bonorchis, (c) 2019 Bloomberg LP



    MultiChoice MultiChoice Group Naspers ShowMax Tim Jacobs top
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleMultiChoice makes its JSE debut with R44-billion market cap
    Next Article Icasa tells MultiChoice it jumped the gun by listing

    Related Posts

    MultiChoice: We can’t afford to compete without help

    17 July 2025

    South Africa loosens media ownership rules – but keeps one hand on the remote

    16 July 2025

    South Africa begins complex job of overhauling media laws

    13 July 2025
    Company News

    Vertiv to acquire custom rack solutions manufacturer

    18 July 2025

    SA businesses embrace gen AI – but strategy and skills are lagging

    17 July 2025

    Ransomware in South Africa: the human factor behind the growing crisis

    16 July 2025
    Opinion

    A smarter approach to digital transformation in ICT distribution

    15 July 2025

    In defence of equity alternatives for BEE

    30 June 2025

    E-commerce in ICT distribution: enabler or disruptor?

    30 June 2025

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2025 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.