Altice UK has announced its acquisition of a 12.1% stake in BT Group, becoming the largest shareholder in the UK-based operator, Reuters reports. With the stake said to be worth around GBP2.2 billion (USD3.1 billion) based on the closing price of BT’s shares yesterday (9 June), the prospect of a takeover has been ruled out, however, with a statement issued by Altice UK, a company newly formed by businessman Patrick Drahi for the purpose of holding the stake in BT, specifically noting: ‘Altice UK has informed the BT Board that it does not intend to make a takeover offer for BT’.
In response to the development, BT Group issued its own statement, in which it said: ‘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.’