Altice considers exiting its stake in SFR amid ongoing debt talks, with potential valuations reaching up to €30 billion. The French telecom operator is owned by billionaire Patrick Drahi, who is reportedly circulating information to potential buyers. There’s significant interest from domestic telecom giants like Bouygues Telecom, Iliad, and Orange, as well as major Middle Eastern operators, including UAE’s e&, alongside private equity firms.
As Altice navigates debt restructuring, there’s anticipation of some bidders showing interest in separate portions of the business. Consortium deals might become a viable solution, involving multiple parties as reported by Bloomberg. Several groups have reportedly engaged with financial advisors to explore the acquisition, yet these discussions remain in nascent stages.
An Altice spokesperson stated, “Altice is focused on implementing the debt agreement, considering the sale of non-core assets, and pursuing SFR’s commercial relaunch and quality of service improvement, two indicators that have already been well oriented for several months.” A potential sale heavily depends on Altice France’s debt restructuring efforts, considering its current debt stands at approximately €60 billion.
Besides, there’s speculation that Drahi may attempt to repurchase shares currently held by creditors to bolster his position before any deal. The strategic move to exit SFR could realign Altice’s financial stability, although unraveling from SFR can pose challenges.
