Following completion of Numericable/SFR merger, Altice can participate in further French telco M&A, which could be very accretive for co., Goldman says.
- Goldman: French M&A could accelerate co.’s wider M&A plans; increase its deal capacity to EU20b-EU30b (from EU10b-EU20b)
- Given its strong track record of co. turnarounds, Altice could achieve synergies with an NPV of EU9b-EU16b if it took the lead in consolidation
- Raises PT by 16% to EU87 (41% upside) and reiterates conviction buy rating
- Nov 20: Altice CEO said co. is most natural buyer of Bouygues Telecom and would be open to discussing deal after closure of SFR purchase
- Goldman still sees 60% probability of consolidation in the French mkt; reiterates conviction buys on Numericable and Orange and reiterates buy on Iliad
- Separately, Barclays says French M&A will likely be pushed out until at least 2H ’15
- Says Numericable is focused on delivering SFR synergies and Iliad/Bouygues Telecom can’t agree on price
Altice Free to Consolidate French Telco Market in 2015: Goldman
2015-01-13 07:55:28.222 GMT
By Sam Chambers
(Bloomberg) -- Following completion of Numericable/SFR
merger, Altice can participate in further French telco M&A,
which could be very accretive for co., Goldman says.
* Goldman: French M&A could accelerate co.’s wider M&A plans;
increase its deal capacity to EU20b-EU30b (from EU10b-EU20b)
* Given its strong track record of co. turnarounds, Altice
could achieve synergies with an NPV of EU9b-EU16b if it
took the lead in consolidation
* Raises PT by 16% to EU87 (41% upside) and reiterates
conviction buy rating
* Nov 20: Altice CEO said co. is most natural buyer of
Bouygues Telecom and would be open to discussing deal
after closure of SFR purchase
* Nov 20: Altice CEO said co. is most natural buyer of
Bouygues Telecom and would be open to discussing deal
after closure of SFR purchase</li></ul>
* Goldman still sees 60% probability of consolidation in the
French mkt; reiterates conviction buys on Numericable and
Orange and reiterates buy on Iliad
* Separately, Barclays says French M&A will likely be pushed
out until at least 2H ’15
* Says Numericable is focused on delivering SFR synergies
and Iliad/Bouygues Telecom can’t agree on price
* Says Numericable is focused on delivering SFR synergies
and Iliad/Bouygues Telecom can’t agree on price</li></ul>
* NOTE: French wireless mkt share breakdown here
For Related News and Information:
First Word scrolling panel: FIRST<GO>
First Word newswire: NH BFW<GO>
To contact the reporter on this story:
Sam Chambers in London at +44-20-3525-2021 or
schambers7@bloomberg.net
To contact the editor responsible for this story:
James Ludden at +44-20-3525-2645 or
jludden@bloomberg.net
2015-01-13 07:55:28.222 GMT
By Sam Chambers
(Bloomberg) -- Following completion of Numericable/SFR
merger, Altice can participate in further French telco M&A,
which could be very accretive for co., Goldman says.
* Goldman: French M&A could accelerate co.’s wider M&A plans;
increase its deal capacity to EU20b-EU30b (from EU10b-EU20b)
* Given its strong track record of co. turnarounds, Altice
could achieve synergies with an NPV of EU9b-EU16b if it
took the lead in consolidation
* Raises PT by 16% to EU87 (41% upside) and reiterates
conviction buy rating
* Nov 20: Altice CEO said co. is most natural buyer of
Bouygues Telecom and would be open to discussing deal
after closure of SFR purchase
* Nov 20: Altice CEO said co. is most natural buyer of
Bouygues Telecom and would be open to discussing deal
after closure of SFR purchase</li></ul>
* Goldman still sees 60% probability of consolidation in the
French mkt; reiterates conviction buys on Numericable and
Orange and reiterates buy on Iliad
* Separately, Barclays says French M&A will likely be pushed
out until at least 2H ’15
* Says Numericable is focused on delivering SFR synergies
and Iliad/Bouygues Telecom can’t agree on price
* Says Numericable is focused on delivering SFR synergies
and Iliad/Bouygues Telecom can’t agree on price</li></ul>
* NOTE: French wireless mkt share breakdown here
For Related News and Information:
First Word scrolling panel: FIRST<GO>
First Word newswire: NH BFW<GO>
To contact the reporter on this story:
Sam Chambers in London at +44-20-3525-2021 or
schambers7@bloomberg.net
To contact the editor responsible for this story:
James Ludden at +44-20-3525-2645 or
jludden@bloomberg.net