Monday, October 26

Altice and Rogers enhance their offer to acquire Cogeco


Altice USA and Rogers come back to buy Cogeco by offering $ 11.1 billion for the Quebec company.

• Read also: Ice Cogeco facing Rogers’ new proposal

• Read also: Unsolicited take-over bid: mayors lend their support to Cogeco

Since Cogeco is controlled by the Audet family, which previously categorically refused previous offers from Altice and Cogeco, C $ 900 million was offered to it on Sunday. This is $ 100 million more than at the beginning of September for this family, when the overall supply was then $ 10.3 billion. The consent of Audets is necessary for the transaction to take place since it is the controlling shareholder of the company.

Under this purchase proposal announced Sunday evening, the other shareholders would receive $ 123 per share for those with subordinate voting rights of Cogeco (CGO) and $ 150 per share for those with subordinate voting rights of Cogeco Communications (CCA) .

Altice and Rogers argued that this is a 50% higher price for CGO and 45% higher for CCA compared to the weighted average share price in August based on volume on the Toronto Stock Exchange. .

“We are pleased to present a revised and enhanced offer that is extremely attractive for Cogeco, which significantly rewards all shareholders and takes into consideration the feedback from recent discussions with holders of subordinate voting shares,” said Dexter Goei, CEO of Altice USA, in a statement.

“We encourage Cogeco’s boards of directors to act in the best interests of all shareholders and stakeholders who are carefully considering this offer and we respectfully ask the boards to discuss our proposal with us,” he added.

If this transaction becomes a reality, Rogers, who is already a Cogeco shareholder, would own the Canadian assets of the company headquartered in Montreal for $ 5.2 billion.


www.journaldemontreal.com

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