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Altice Debt · Consolidation · French Telecoms · SFR Acquisition
French telecom majors Bouygues Telecom, Orange, and Free-iliad Group renewed talks with Altice Group, submitting an improved €20.35 billion ($23.98 billion) offer to acquire most of Altice's French telecommunications operations, primarily its SFR brand.
The consortium revived discussions and began due diligence in January after Altice rejected a €17 billion offer in October. This proposed deal would consolidate France's telecoms sector from four major operators to three, mirroring recent European trends seen in Spain with Orange's MasOrange tie-up and the U.K. with Vodafone's merger with Three.
The buyers have secured an exclusivity period until May 15 to finalize terms, intending to split SFR's consumer arm, infrastructure, and spectrum. Bouygues would acquire 42% of the assets, including SFR's business-to-business unit and mobile network in less dense areas.
Iliad would contribute 31% of the price, and Orange 27%. These assets exclude Intelcia, XP Fibre, UltraEdge, and Altice Technical Services, as well as Altice's overseas operations.
J.P.Morgan analysts stated in October that this transaction is critical for Altice to reduce its debt burden and unlock equity value, while the acquiring companies aim to restore market balance. The offer is subject to regulatory approvals and worker union consultations, with no certainty of a final agreement.
