MultiChoice's Market Capitalisation Tops $3 Billion As It Debuts On Johannesburg Stock Exchange
You probably didn’t know that the company that operates your pay television, DSTV is known as Multi-Choice.
Now you know. MultiChoice is Africa’s biggest pay-TV group and it went public on the Johannesburg Stock Exchange on Wednesday in South Africa.
Its shares opened at 95.50 rand, giving the company a market capitalisation of 42 billion rand ($3.03 billion).
MultiChoice’s parent company, South African ecommerce giant Naspers decided on a spin of the pay-TV group after coming under pressure in recent years to find ways to narrow a valuation discount between its market value and that of its one-third stake in Chinese internet group Tencent, according to a Reuters analysis.
As of 7Am on Wednesday, the stock was trading at 105.04 rand, adding to opening gains.
Naspers did not raise any money from the listing with the 439 million shares instead being distributed to current Naspers shareholders on a one-for-one basis for its listed shares and one for five unlisted A class shares.
Founded 30 years ago, MultiChoice reaches around 14 million households in 50 African countries, offering both paid-TV products and a fledging streaming service called Showmax.
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