Canal+ buys stake in Asian streamer Viu with option to take majority control

France’s pay TV giant Canal+ has revealed it is to buy a minority stake of 26.1% in the Hong Kong-based OTT video service Viu.

Following a deal with parent-company PCCW, Canal+ is to make initial investment of $200m in Viu and will make a staggered investment of $300m. Following the investment, Canal+ will also have an option to increase its stake in Viu to 51%.

Viu is best known for its Korean content offering, operating across Asia, Midddle Eats and South Africa. According to Viu, it has over 66 million monthly active users and 12 million paid subscribers. The company reported in 2022, Viu recorded revenues of over $250 million, up 36% on the previous year.

Maxime Saada, chairman of the Canal+ Group Management Board, said: “Canal+ already holds leading positions in some of these European and African markets. We want to make Asia an additional growth driver for the Canal+ Group. Our investment in Viu is a major step towards achieving this goal. Viu is already a company of critical size, building its success on a hybrid AVOD and SVOD business model, to which it adds its expertise in local content. It has all the ingredients to continue its strong growth and position itself as a leading service in the region and beyond”.

Susanna Hui, CEO of PCCW and CFO of the Group, said: “We are delighted to partner with Canal+ to take Viu to the next level, with the prospect of global synergies from both Canal+ and PCCW. Viu is already a regional leader: we are convinced that now is the right time to enter into a major strategic partnership that will enable Viu to continue its global expansion and growth. This will enable the business to roll out on a large scale and create further value for our shareholders.”