Altice said that its US$17.7 billion deal to acquire US cable player Cablevision is now “fully funded” after two fund partners agreed to take a US$1 billion stake.
Funds advised by BC Partners (BCP) and Canada Pension Plan Investment Board (CPPIB) agreed to buy 30% of the equity of Cablevision for roughly US$1 billion.
The agreement comes after Altice bought a 70% majority stake in US cable operator Suddenlink from BCP and CPPIB, the latter of which recently took a significant stake in Entertainment One, in May, with the two funds retaining a 30% interest in the business.
Cable and telecom investor Altice said that with equity insurance and recent Cablevision debt financing, “the acquisition of Cablevision is fully funded” and is expected to close in the first half of 2016 once regulatory approvals have been obtained.
“We are extremely pleased that BC Partners and CPPIB – our future partners in Suddenlink – have also agreed to invest alongside us in Cablevision and to continue to accompany Altice in its long-term oriented growth and investment strategy in the US,” said Altice CEO Dexter Goei.
BCP co-chairman and managing partner Raymond Svider added: “We are delighted to continue to invest in partnership with Altice and CPPIB, and are highly confident in Altice’s ability to further enhance network quality, increase customer satisfaction, and meaningfully improve financial performance at Cablevision.”