10th Jun 2021 08:47
(Alliance News) - Altice UK SARL, a new company wholly owned by billionaire Altice Europe NV founder Patrick Drahi, on Thursday said it has bought a 12% stake in BT Group PLC as the firm represents a "compelling opportunity" to roll out fibre broadband across the country.
BT is in a position to "deliver one of the UK government's most important policies" in expanding broadband networks, and benefits from a regulatory framework which offers it incentives to invest, Altice UK said.
Shares in BT were up 2.4% to 187.55 pence in London, making Drahi's stake, a total of 1.20 billion shares, worth around GBP2.25 billion.
Drahi's company said it holds BT's management in high regard and supports their strategy. It does not intend to make an offer for the whole company, a binding statement under UK takeover rules.
Altice UK is separate from Altice Europe and Altice USA Inc, but benefits from their "expertise and experience", the statement said.
"BT has a significant opportunity to upgrade and extend its full-fibre broadband network to bring substantial benefits to millions of households across the UK. We fully support the management's strategy to deliver on this opportunity," Drahi said.
In a separate statement, the London-based telecommunications company noted the Altice UK announcement and said: "We welcome all investors who recognize the long-term value of our business and the important role it plays in the UK."
By Ivan Edwards; [email protected]
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