Telecom Operators

SFR embraces telecoms, advertising and media to become France’s leading content operator

SFR, a global operator holding prime positions in all of France’s telecommunications market segments, from consumer to B2B, local authorities and wholesale, is set to become France’s leading content operator by combining telecoms, advertising and media. The company announced the acquisition of Altice N.V.’s 49 percent minority stake in NextRadio, acquired in December 2015 as part of its strategic partnership with Alain Weill, CEO of NextRadio.

NextRadioTV is a benchmark operator in the French information ecosystem, focused on mainstream news, sports, business, high-tech and discovery. NextRadioTV operates powerful businesses and media brands such as BFMTV and RMC (France's fourth TV group and fourth radio station, respectively, in terms of audience), as well as RMC Sport, RMC Découverte, BMF Business, (6 million unique visitors monthly) and (4 million unique visitors monthly). NextRadioTV also owns a minority interest in the Numéro 23 channel.

The proposed transaction values NextRadioTV at an enterprise value of €741 million. The interest in NextRadioTV is acquired by SFR at cost relative to the original price paid by Altice N.V.

SFR also announced that it has entered into negotiations to acquire Altice Media Group France, a leading diversified and profitable media group in France, which publishes more than 20 major national titles, including iconic and well-known brands such as Libération, L'Express, L'Expansion, L'Etudiant and Stratégies.

Altice Media Group France operates an international news channel - i24 News - and has positioned itself as the second largest operator in the French digital press sector. In addition, Altice Media Group France is a leading event organizer: its Salon de l'Etudiant trade fair, in particular, has attracted 2 million visitors annually for more than 30 years.

The proposed transaction values Altice Media Group France at an enterprise value of €241 million. Both transactions represent a unique opportunity to develop SFR into a true cross-media content publisher, capitalizing on a highly diversified portfolio of premium brands. The acquisitions support SFR's business strategy by accelerating the deployment of the global convergence of telecoms, media/content and advertising. The two proposed transactions were approved by SFR's Board of Directors on April 26.