Vivendi Plans Canal+ London Stock Exchange Listing Amid Split Project Feasibility Study

Vivendi’s Management Board has presented an update on the feasibility study of their proposed split project, initially announced on December 13, 2023, to the Supervisory Board. This study was initiated to address the conglomerate discount that has significantly reduced Vivendi’s valuation since the distribution and listing of Universal Music Group (UMG) in 2021. This devaluation has limited Vivendi’s capacity for external growth transactions for its subsidiaries, including Canal+, Havas, and Lagardère, which are currently experiencing robust international growth and numerous investment opportunities.

The feasibility study has confirmed the viability of the split project under favorable conditions and has identified the most suitable stock exchanges for Canal+, Havas, and a company grouping assets in publishing and distribution. The intention is to enable these entities to operate as independent entities listed on the stock market, thus unleashing their full development potential.

Despite the proposed separations, Canal+, Havas, and the new publishing and distribution company will retain their decision-making centers and operational teams in France. They will continue to be French tax residents for corporate income tax purposes, even though Canal+ and Havas might be listed outside of France.

Canal+ is proposed to be listed on the London Stock Exchange, reflecting its international dimension. This decision is particularly pertinent in light of the ongoing combination with MultiChoice. With nearly two-thirds of its subscribers outside France and a distribution network spanning all continents, Canal+’s growth has been driven by recent expansions in African, European, and Asia-Pacific markets. A London listing is seen as an attractive proposition for international investors. Additionally, depending on the outcome of its public tender offer for MultiChoice, Canal+ might also seek a secondary listing on the Johannesburg stock market. Despite these listings, Canal+ will remain incorporated and taxed in France and will not be subject to mandatory public offer regulations in the UK or France.

The feasibility study’s positive findings indicate that Vivendi’s split project is on track to achieve its goals, setting a strong foundation for the future growth of Canal+, Havas, and the new publishing and distribution entity.