Altice enters the US market with Suddenlink – Challenges.fr

PARIS (Reuters) – Altice Wednesday announced its entry into the cable in the US market with the acquisition of the operator Suddenlink Communications in a transaction valuing the company at $ 9.1 billion ( 8.22 billion euros).

This arrival in the US, partly financed by debt, dramatically raised the title at the Amsterdam Stock Exchange, where he earns 6.62% to 123, 25 euros in early trade.

“Our investment in Suddenlink, our first in the cable industry in the United States, opens to Altice an industrial and strategic way attractive to the United States, one of markets of the most important and dynamic communications world, “said the CEO of Altice, Dexter Goei, in a statement.

The group of businessman Patrick Drahi will acquire 70 Suddenlink% stake from BC Partners, CPP Investment Board and management of Suddenlink. BC Partners and CPP Investment Board will retain a 30% stake.

Suddenlink realized in 2014 a turnover of 2.3 billion and an EBITDA (EBITDA or EBITDA ) of over 900 million, Altice says in its release.

This transaction marks the continuation of the acquisition strategy conducted in great style by Altice since its IPO in January 2014 . Last year, the group acquired SFR, the second largest French mobile operator, it merged with the cable operator Numericable Numericable, SFR to create.

He completed at the beginning of the redemption of the 20% that Vivendi, former parent company of SFR, still held in the new set.

Altice has also recently acquired the assets of Portuguese and Brazilian Oi another operator in the Dominican Republic.

The redemption Suddenlink could instead remove the prospect of a further consolidation of the French market, where Altice is as a potential purchaser of Bouygues Telecom in mobile telephony.

However last recently reaffirmed its desire to remain independent.

In addition, Altice also discussed the US with Time Warner Cable, has-been learned from a source familiar with the negotiations.

The new environment created by the expansion of Altice in the United States pushed the telecom stocks Wednesday in the Paris Stock Exchange

(James Regan, with Leila Abboud. Marc Angrand Patrick Vignal and Bertrand Boucey for the French service, edited by Marc Joanny)