Multinational telco Altice has commenced its initial public offering today in which it hopes to raise at least €1.3bn (US$1.76bn).
It has set a price range of between €24.75 and €31.25 per share and plans to issue €750m (US$1.02bn) of new…
Multinational telco Altice has commenced its initial public offering today in which it hopes to raise at least €1.3bn (US$1.76bn).
It has set a price range of between €24.75 and €31.25 per share and plans to issue €750m (US$1.02bn) of new ordinary shares.
The exact amount of shares issued will depend on where the flotation prices, and therefore Altice’s eventual free float could be anywhere between 20.8% to 25.6%.
In addition to the newly-issued stock, Altice’s founder and executive chair Patrick Drahi plans to sell €550m (US$745.2m) of his shares in the telco held by his Next LP vehicle.
This takes the value of the offering up to €1.3bn, but this number could rise to €1.5bn (US$2.03bn) should investors fully exercise a 15% over-allotment option.
Acquisitive Altice announced the IPO on 7 January and today opened the offer and subscription period, which will run until 30 January.
The pricing of the issue and the determination of the number of shares to be issued should take place on 31 January, when the stock will be allocated.
Goldman Sachs and Morgan Stanley are the joint global coordinators for the offering. They are also joint bookrunners alongside Credit Suisse, Deutsche Bank, and HSBC. Credit Agricole and ING are acting as joint lead managers.
Commenting on the IPO Drahi said: “We now look forward to meeting prospective investors and sharing with them our plans to realise further organic growth from our multiple-play strategy based on our network advantage together with growth from acquisitions, based on our proven track record of acquiring and improving businesses and of unlocking value through operational excellence.”
Altice is set to trade on the Euronext in Amsterdam as ATC.
Appoints Matlock as director
Altice has also announced the appointment of recently-retired Morgan Stanley banker Scott Matlock to its board.
Matlock, who spent 25 years at the bank, will sit as an independent non-executive director.
Most recently he was chairman of international M&A at Morgan Stanley. Prior to that, Matlock was chairman of Asia M&A and global head of media and communications M&A.
The telco said Matlock was responsible for some of Morgan Stanley’s most important clients and transactions in the media and communication sectors.
Altice owns operators in France, Belgium, Luxembourg, Portugal, Switzerland, Israel, a number of French Overseas Territories, and the Dominican Republic.
Its most high-profile holding is its 40% stake in French cableco Numericable, which is valued at €1.4bn (US$1.9bn).
The Luxembourg-based telco made its first acquisition in 2002 and says it has completed 20 deals overall, including 13 in the last five years.
