Altice shares rebound after group spins off US arm
The Hague, (MILLAT ONMLINE):Shares in troubled French media and telecoms firm Altice soared in early trading Tuesday, after it announced a major group reorganisation spinning off its US arm from its European business.
Altice said in a statement late Monday that it “has approved plans for the separation of Altice USA Inc. from Altice NV”, adding the new arm would be renamed “Altice Europe”.
“The separation will enable each business to focus more on the distinct opportunities for value creation in their respective markets and ensure greater transparency for investors,” the company added.
The news, which came only two months after Altice founder Patrick Drahi retook the company’s reins, was welcomed by the markets early Tuesday, as shares soared by 7.45 percent in early trading on Amsterdam’s AEX.
Share prices bubbled up to hit 10.15 euros, before beginning to drop back below 7.0 percent, as the AEX itself rose by some 20 percent.