Key Takeaways:
A consortium of France’s largest telecommunications firms will have more time to finalize a landmark deal, as Altice France agreed to extend an exclusivity period for the potential €20.35 billion acquisition of its telecom assets until June 5.
In a joint press release, Bouygues Telecom, Orange, and the Free-iliad Group confirmed the extension from the original May 15 deadline, describing the ongoing discussions as “constructive.” The proposed transaction, one of the largest in the European telecom sector in years, would see the assets of Altice’s SFR division divided among the three rivals.
The revised joint offer was submitted on April 17, reflecting a total enterprise value of €20.35 billion for the assets under consideration. While the extension suggests progress, the companies cautioned that “at this stage, there is no certainty that these discussions will result in an agreement.”
The move is driven by pressure on Patrick Drahi’s Altice group to deleverage its balance sheet following a sharp rise in interest rates. A successful sale would provide a significant infusion of capital to pay down debt. For the French market, the deal represents a major consolidation, potentially reducing the number of major mobile operators and triggering close scrutiny from French and European competition authorities over concerns about reduced competition.
This article is for informational purposes only and does not constitute investment advice.
