The deal comes after the two launched a failed joint bid to buy bankrupt Swiss firm ISSM/ISL.
The deal will see RTL's Ufa Sports merge with Canal+'s Sports+ and JC Darmon. RTL already owns 28% of JC Darmon. Sports+ and Ufa Sports are expected to be integrated into JC Darmon, which is already listed on the Paris Bourse stock exchange.
The new company will manage TV and marketing contracts for more than 320 football clubs worldwide, including Galatasaray Istanbul and Borussia Dortmund. It will manage TV rights and marketing in France, Italy and Africa alongside other sports interests including a partnership with Alain Prost's Formula 1 team.
The one thing it will lack is a rights deal to any major sporting events, such as the 2002 World Cup. For that event, the rights for Europe and the US are held by German pay-TV group Kirch.
The rights to the tournament for the rest of the world had been handled by ISSM/ISL. However, Kirch is said to be in the running to take control of these after Fifa terminated its contract with the fallen firm last week.
The new company, which is to be renamed, will be headed by Jean-Claude Darmon as chairman and CEO. Bernd Hoffmann from Ufa Sports and Jerome Valcke from Sports+ will become chief operating officers.
The group will be majority owned by Canal+ and RTL with around 40% each. Darmon will own 5% and the rest will be owned by minority shareholders.
The agreement signals closer cooperation between European giants Vivendi Universal and Bertelsmann, which owns a 67% stake in RTL.