Private capital investment in Africa surged in the third quarter of 2025, reaching a total disclosed deal value of $5 billion, largely boosted by the $2 billion acquisition of MultiChoice Group by Canal+ SA.
This is according to the Stears Q3 2025 Private Capital in Africa Activity Report, which shows that total transaction value rose to $5 billion, a 60 percent increase from the $3 billion recorded in the previous quarter, while transaction volume also rose to 177 deals, up from 147 recorded in the previous quarter.
The report reveals that the Canal+ buyout of MultiChoice accounted for about 40 percent of total transaction value during the quarter, making it the second-largest private deal of the year, after the $2.2 billion part-acquisition of Khazna Data Center earlier in 2025.
Although the number of transactions increased, the report noted that the disclosure rate fell to 51 percent, down from 63 percent in Q2, below the usual quarterly average. Despite this, overall deal value climbed significantly, mainly due to the MultiChoice transaction, which alone lifted total investment value across the continent.
Read also: Canal+ complete MultiChoice takeover in $2B deal
“Much of the quarter’s growth was driven by the $2 billion MultiChoice Group deal,” the report said. “Excluding this transaction, total deal value would have remained broadly in line with Q2 2025 levels.”
The MultiChoice acquisition marks the completion of Canal+’s five-year investment journey in the South African media giant. The French pay-TV operator began accumulating its stake in October 2020 with an initial 6.5 percent, gradually increasing it to 43.5 percent by May 2024 before completing the full buyout in September 2025.
Stears describes the deal as “distinctively African,” noting that while Khazna Data Center operates across the wider MENA region, MultiChoice remains an Africa-focused media and entertainment business. The report highlights the transaction as a strong signal of growing confidence in the continent’s digital consumer market, particularly in video entertainment and streaming.
Africa’s entertainment and media market was valued at $88.16 billion in 2024 and is projected to reach $120.03 billion by 2030, at a compound annual growth rate of 5.1 percent. Within that, pay-TV subscriptions are expected to climb modestly to 55 million subscribers by 2029, while digital streaming remains the key growth driver.
Beyond the MultiChoice transaction, merger and acquisition activity remained strong across the continent, contributing to the overall $5 billion investment value. The report revealed that Southern Africa led activity with major deals such as Link Mobility’s $115 million acquisition of SMSPortal and Nedbank’s $93 million purchase of fintech firm iKhokha. In Morocco, pharmaceutical giant Sothema completed a $111 million takeover of Soludia Maghreb, while in Nigeria, Leadway Holdings finalised its acquisition of PAL Pensions ahead of new PENCOM capitalisation rules.
Regionally, the report also disclosed that Southern Africa reclaimed the top spot for deal activity, accounting for 31 percent of all transactions, followed closely by West Africa (30 percent) and East Africa (28 percent). South Africa alone represented 87 percent of Southern Africa’s transactions, confirming its dominance as the continent’s leading private investment destination.
The report also shows that smaller transactions are gaining more attention. The combined share of large and mega deals dropped from 27 percent to 21 percent, while deals valued between $2.5 million and $10 million rose to 32 percent, driven by renewed Series A venture rounds in technology and consumer-tech segments.
Information technology emerged as the leading sector, accounting for 21 percent of all transactions, surpassing consumer goods and services for the first time, the report said.
“Sub-sectors such as application software and consumer digital services dominated, highlighted by Sanari Capital’s $23.4 million investment in South African fleet-management firm Ctrack.”
“Financial Services (20 percent) and Energy & Utilities (13 percent) followed. The Consumer Goods & Services category was reclassified this quarter into Consumer Discretionary (11 percent) and Consumer Staples (5 percent); even when combined, they did not feature among the top three sectors,” the report disclosed.