Canal+ Buys into French Movie Theaters

 


The production and distribution arm of Canal+, StudioCanal, will be taking a stake in UGC’s exhibition network. Covering 55 theaters in both Belgium and France, UGC is currently one of the most influential theater chains in the area. To share the facts, we have Brandon Blake, best entertainment lawyers in Los Angeles at Blake & Wang P.A.

 


Brandon Blake

 

Minority Stake

 

Under the negotiations, Canal+ would assume a 34% minority stake in the group, with the further option to take full control in 2028. Under the UGC banner is the UGC Ciné Cité Les Halles in Paris, one of the world’s most visited cinemas. It would also give them a stake in UGC’s extensive film and TV library. Canal+ already controls one of Europe’s largest film catalogs.

 

Growing StudioCanal

 

For Canal+, this not only gives them an expanded stake in the cinema and theatrical exhibition space, but could also be a new way to grow StudioCanal’s influence and prestige. Currently, Canal+ has close to 27M subscribers across 52 countries, with StudioCanal producing and distributing close to 200 films annually.

 

Canal+ has been undergoing a fairly aggressive expansion effort at present, including increasing its ownership stake in Viu, an Asian streaming service, again with the option for majority control in 2026. They have also launched a mandatory takeover of the South African Pay-TV group, MultiChoice. To date, these deals are still pending regulatory approval under European Union regulations.

 

Once Canal+ receives the go-ahead for the stake acquisition, it will have the option (subject to shareholder approval) to purchase all remaining shares from 2028. Whether it will choose to use this for the UGC deal or even Viu, however, is yet to be tested.

 

Should the deal come to fruition, this would mark an interesting shift in the European film landscape, and it will be fascinating to see what comes of it down the line.

               

 

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