MultiChoice, in Africa Outside South Africa, Announced That There Will Be No Price Increase for Subscribers to Its DStv Service
March 18 2016 - 4:00AM
Business Wire
Naspers Limited (JSE: NPN, LSE: NPSN): Today MultiChoice
Africa Limited, a subsidiary of Naspers Limited that offers video
entertainment services in Africa outside South Africa, announced
that there will be no price increase for subscribers to its DStv
service (direct-to-home satellite television service) in the
majority of its African markets. Price increases usually occur
annually around 1 April.
Most African markets have suffered as a result of commodity and
oil price weakness, and because of the significant devaluation of
local currencies. Many of MultiChoice Africa’s costs are incurred
in dollars, which forced it to pass through price increases in
2015. Nevertheless, MultiChoice Africa continues to suffer adverse
impacts from the economic environment.
Since subscribers are still under severe financial pressure,
MultiChoice Africa has decided not to increase subscription prices
for DStv in most of its markets in 2016.
Imtiaz Patel CEO of Naspers’s Video entertainment segment said.
“We believe MultiChoice Africa is correctly responding to
prevailing market conditions. Barring any further external economic
shocks, we do not anticipate a price increase in 2016. “
“As a group, we believe in the longer term potential of our
markets in Africa. We will therefore provide the necessary
financial support to MultiChoice Africa. We are in a position to do
this because most of the Naspers group business (65% of revenue) is
outside Africa, where times are better and our businesses are in
good shape.” said Naspers CEO, Bob Van Dijk.
IMPORTANT INFORMATION
This media release contains forward-looking statements as
defined in the United States Private Securities Litigation Reform
Act of 1995. Words such as “believe”, “anticipate”, “intend”,
“seek”, “will”, “plan”, “could”, “may”, “endeavour” and similar
expressions are intended to identify such forward-looking
statements, but are not the exclusive means of identifying such
statements. While these forward-looking statements represent our
judgements and future expectations, a number of risks,
uncertainties and other important factors could cause actual
developments and results to differ materially from our
expectations. These include numerous factors that could adversely
affect our businesses and financial performance. We are not under
any obligation to (and expressly disclaim any such obligation to)
update or alter our forward-looking statements whether as a result
of new information, future events or otherwise. Investors are
cautioned not to place undue reliance on any forward-looking
statements contained herein.
About Naspers:
Founded in 1915, Naspers is a broad-based multinational internet
and media group offering services in more than 130 countries. Its
principal operations are in ecommerce (i.e. classifieds, online
retail, marketplaces, online comparison shopping, payments and
online services), video-entertainment and print media. The group
also has minority investments in listed, integrated social-network
platforms Tencent (SEHK 0700) and Mail.ru (LSE: MAIL). Naspers is
listed on the Johannesburg Stock Exchange (NPN.SJ) and has an ADR
listing on the London Stock Exchange (LSE: NPSN).
For more information, please visit www.naspers.com.
About MultiChoice Africa Limited:
MultiChoice Africa Limited (“MultiChoice Africa”) is the leading
video entertainment service provider in sub-Saharan Africa, having
launched the first digital satellite service in the 1980s.
MultiChoice Africa provides multi-channel, multi-platform digital
video entertainment services containing channels from Africa,
America, China, India, Asia and Europe. The company has over twenty
years’ experience as a video entertainment provider in Africa,
offering cutting-edge digital technology to provide premium video
content for subscribers in 49 Sub-Saharan African countries and its
adjacent Indian Ocean islands. MultiChoice Africa provides its
digital satellite television service – DStv - to subscribers’ homes
from two different satellites, namely: the Intelsat 20 (“IS 20”) Ku
BAND and Eutelsat 36B (used to be called W7) Ku Band. For more
about MultiChoice Africa, please visit www.dstv.com.
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version on businesswire.com: http://www.businesswire.com/news/home/20160318005185/en/
For Naspers Limited:Meloy Horn, +27 11 289 3320+27
11 289 4446Mobile: +27 82 772 7123Head of Investor
Relations
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