LUXEMBOURG, Nov. 26, 2013 /CNW/ - Altice VII S.a r.l. ("Altice") today announced that it has reached an agreement with Orange SA ("Orange") to purchase 100% of Orange Dominicana S.A. ("Orange Dominicana"), the mobile operator in the Dominican Republic with 3.4 million subscribers1, for approximately USD 1.4 billion (€ 1.1 billion). Such agreement includes the continued use of the Orange brand by Orange Dominicana within a defined framework.
The transaction, which is subject to the approval of the Dominican authorities, will be submitted to the Board of Directors of Orange for approval during the week commencing December 9, 2013.
Altice also looks forward to finalizing an agreement with Grupo Leon Jimenes, one of the most highly regarded business groups in the Dominican Republic, to join as local partners on its telecom investments in the Dominican Republic, including Orange Dominicana and Tricom.
The acquisition of Orange Dominicana, following its announced acquisition on October 31, 2013 of cable operator Tricom, fits perfectly with Altice's strategy of combining both fixed and mobile assets in order to offer quadruple-play services over state-of-the-art communication networks. With Orange Dominicana and Tricom having a combined total subscriber base of approximately 4.0 million, Altice will be in a stronger position to accelerate the upgrade and deployment of nationwide networks which can provide attractive television, high-speed broadband and telephony services over both fixed and mobile networks.
The Orange Dominicana transaction also strengthens Altice's presence in the Caribbean where it already offers pay-TV, high-speed broadband and mobile services in Martinique, Guadeloupe and French Guyana.
Commenting on the transaction, Dexter Goei, CEO of Altice, stated: "We are very pleased with the acquisition of Orange Dominicana which is demonstrating strong growth and provides for - through both a state-of-the art mobile communications network and a high quality management team - a perfect fit with our strategic vision to offer high quality quadruple-play services to our subscribers. Combined with our acquisition of Tricom, this is another great example of our strategy of in-market and regional consolidation."
Altice is a Luxembourg based company, founded by telecom entrepreneur Patrick Drahi. Altice and its affiliates currently regroup and operate cable, mobile, DSL and datacentre companies in France, Israel, Belgium, Luxembourg, the Caribbean, Indian Ocean, Portugal and Switzerland, servicing both residential and professional customers.
About Orange Dominicana
Orange Dominicana was established in 2000 and became one of the leading mobile operators in the Dominican Republic. The company posted revenue of DOP22.8 billion (USD 581 million / €451 million) in 2012 and had a customer base of 3.4 million at the end of September 2013. The company employs approximately 1,400 people.
About Grupo Leon Jimenes (GLJ)
Grupo Leon Jimenes is a Caribbean region family consortium with inception in 1903. GLJ companies have operated in the consumer discretionary/staples/financial/paper and media sectors, especially in the Dominican Republic (DR). GLJ is active in multiple non-profit cultural and socioeconomic initiatives.
This press release is for informational purposes only and does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States.
This announcement does not constitute and shall not, in any circumstances, constitute a public offering nor an invitation to the public in connection with any offer within the meaning of the Directive 2010/73/EU of the Parliament and Council of November 4, 2003 as implemented by the Member States of the European Economic Area (the "Prospectus Directive"). The offer and sale of the Notes will be made pursuant to an exemption under the Prospectus Directive, as implemented in Member States of the European Economic Area, from the requirement to produce a prospectus for offers of securities.
Certain statements contained herein are not based on historical fact and are "forward-looking statements" within the meaning of the applicable securities laws and regulations. Owing to the uncertainties inherent in forward-looking statements, actual events or results could differ materially from those stated here. These forward-looking statements reflect Altice management's expectations as of the date of this press release and are subject to certain risks and uncertainties, including that the proposed offering is subject to market conditions and other factors. Altice does not undertake to revise these statements to reflect subsequent developments.
1 Total mobile, Internet, TV and fixed voice services subscribers as of end of September 2013
Dennis Okhuijsen, Altice Chief Financial Officer, Tel: +35228371079, [email protected]
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