Iliad two weeks away from securing financing for Alice buy

3 Jul 2008

French alternative telecoms operator Iliad (Free) yesterday announced that it expects to secure financing for a EUR1 billion (USD1.58 billion) credit line to buy Telecom Italia’s French broadband unit Alice within the next two weeks. Reuters quotes Iliad Finance Director Thomas Reynaud as saying that a syndicated credit line has been put in place to buy Alice, marking the latest phase of consolidation in the French ADSL and cable broadband market, which could now be drawing to a close. Since 2005 the domestic broadband market has been whittled down from more than ten operators to just four, leading many to believe that the current situation of highly competitive pricing will ease over the medium term. Iliad struck an EUR800 million deal to acquire Alice last month and sees the move as crucial in its fight for market share with rivals, France Telecom, neuf Cegetel and the cable operator YPSO/Numericable.

France, Iliad (Free)