French markets regulator the AMF rejected Altice’s bid to take over the 22.25% of service provider SFR that it did not already own because it believes the cable and telecom investment group did not provide sufficient information to shareholders.
The AMF said that the information supplied justifying the terms of exchange for the all-share transaction was incomplete and incoherent.
According to financial daily Les Echos, the AMF requested more detail from Altice, but judged the company’s response to be inadequate.
Altice has published the offer on its website.
SFR’s shares fell sharply after the AMF’s unexpected rejection of Altice’s bid. Altice had planned to take control of the part of SFR that it did not already own by exchanging shares in SFR for Altice stock.
The company yesterday said it regretted the AMF’s decision and would consider its legal options.
Altice CEO Michel Combes was highly critical of the regulator’s stance, arguing that deprived shareholders of their right to an independent choice.