Canal+ breaks away from Vivendi to list in London next week
- Canal+ secured shareholder approval for its stock market listing, marking a significant transition for the company.
- The company's debut is anticipated to contribute positively to the London stock market amid recent challenges faced by other listed firms.
- Yannick Bolloré expressed optimism for Canal+ and its future as an independent entity following the successful transition.
In France, Canal+, a media company known for its production of the Paddington films, is set to debut on the London Stock Exchange following the approval from shareholders of its parent company, Vivendi. The finalization of Canal+'s spin-off took place after a substantial 97.5% of shareholders supported this restructuring decision during their meeting in Paris. This move marks a significant moment for the London stock market, which has seen a trend of companies either going private or relocating their listings to other markets. Canal+ is not only a major player in media with approximately 27 million pay TV customers worldwide, but it also holds rights to numerous classic film series, bringing a wealth of entertainment content to investors. Analysts forecast that Canal+'s valuation could range between €5 billion and €6 billion upon its share trading commencement, making it one of the largest new entrants to the London market since other high-profile listings like Haleon in 2022. Despite this promising debut, the company will not be included in the FTSE indices due to its ongoing domicile in France and other criteria it may not meet. The spin-off is part of Vivendi's broader strategy to separate its main subsidiaries into distinct entities. While Canal+ will be publicly traded in London, its advertising group Havas is expected to list in Amsterdam and the newly formed publishing division, Louis Hachette Group, will be listed in Paris. This strategic division aims to enhance the distinct value of each entity while facilitating investment opportunities across major European markets. Chairman of Vivendi, Yannick Bolloré, expressed confidence in the restructuring process, viewing it as an opportunity for long-term growth and value creation. He also cited the recent shareholder vote in favor of the spin-off as a vote of confidence from investors. The positive outcome suggests an optimistic future for Canal+ as it steps into the global investment arena, where it will also consider a secondary listing in Johannesburg as part of its growth strategy.