Its previous C$10.3B offer – a deal to buy Cogeco for its U.S. assets (namely Atlantic Broadband), and sell the Canadian assets to Rogers Communications (NYSE:RCI) – was rejected by Cogeco’s controlling Audet family.
The particulars of the new deal include not only the C$11.1B for the assets of both Cogeco companies, but C$5.1B (about $3.9B) to be paid by Altice USA for the American assets.
Altice USA notes that given the need for support from the Audet family, there’s a “sizable premium” on those shares – specifically, C$900M for their ownership interests. And it also includes C$123/share for the remaining Cogeco subordinate voting shares, and C$150/share for the remaining Cogeco Communications subordinate voting shares.
Altice USA says if it’s unable to arrive at a mutually satisfactory agreement by Nov. 18, or if it doesn’t see a clear path forward to competing a transaction, the offer will be withdrawn.