{"id":27305,"date":"2021-06-10T07:21:41","date_gmt":"2021-06-10T06:21:41","guid":{"rendered":"https:\/\/www.ispreview.co.uk\/?p=27305"},"modified":"2021-06-10T15:21:50","modified_gmt":"2021-06-10T14:21:50","slug":"altice-uk-acquires-12-1-percent-equity-stage-in-bt-group","status":"publish","type":"post","link":"https:\/\/www.ispreview.co.uk\/index.php\/2021\/06\/altice-uk-acquires-12-1-percent-equity-stage-in-bt-group.html","title":{"rendered":"Altice UK Acquires 12.1 Percent Equity Stage in BT Group"},"content":{"rendered":"

The UK telecoms giant, BT<\/a> Group, has this morning confirmed that Altice UK, a business wholly owned by Patrick Drahi, has acquired a sizeable 12.1% equity stake in the operator (worth c.\u00a32bn) and also issued a statement in support of the broadband and media firm’s current management and strategy.<\/p>\n

According to the website for Altice<\/a>, the company delivers customer-centric products and solutions that “connect and unlock the limitless potential of its over 30 million customers over fibre networks and mobile broadband<\/em>.” Altice is also a provider of enterprise digital solutions to millions of business customers, as well as a provider of original TV content and live broadcast premium sports events.<\/p>\n

NOTE:<\/strong> Altice formed the company Altice UK for the sole purpose of holding the BT<\/a> stake.<\/div>\n

Today’s move is significant because it means that Altice UK is now BT<\/a> Group’s largest shareholder and will thus have some say in the operator’s future direction, as well as any potential acquisitions or take-overs further down the road (Deutsche Telekom is often linked to such an idea due to their 12% stake in the operator). The holdings notice is here<\/a>.<\/p>\n

Altice UK Statement:<\/strong><\/p>\n

“Altice holds the Board and Management team of BT in high regard and is supportive of their strategy. Altice UK has informed the BT Board that it does not intend to make a takeover offer for BT.”<\/p><\/blockquote>\n

BT Group Statement<\/strong><\/p>\n

“BT Group notes the announcement from Altice of their investment in BT and their statement of support for our management and strategy. We welcome all investors who recognize the long-term value of our business and the important role it plays in the UK. We are making good progress in delivering our strategy and plan.”<\/p><\/blockquote>\n

The move comes shortly after BT announced that they were ramping up their \u00a315bn<\/strong> plan to deploy a new gigabit-capable Fibre-to-the-Premises<\/strong> (FTTP<\/a>) broadband network across the United Kingdom (here<\/a>), which will now aim to cover 25 million premises by December 2026.<\/p>\n

At the time, BT said that it could fund the aforementioned build entirely from internal resources, but they also believed that it would be possible to “deliver further shareholder value by funding the additional 5m premises through a joint venture with external parties<\/em>” and intended to explore joint venture structures over the first half of the current financial year.<\/p>\n

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