Altice, an organization owned by billionaire Patrick Drahi, has established a UK subsidiary for the needs of holding a stake in BT.
Despite buying such a large stake in BT, Altice UK says that it doesn’t intend to make a takeover bid of the nation’s largest telecoms operator.
Altice UK says its curiosity in BT is as a result of “compelling opportunity” to put money into the corporate amid its full-fibre rollout.
In March, BT mentioned that it could commit £12 billion and “build like fury” to extend the provision of full-fibre connections following the choice from British telecoms regulator Ofcom to not set a price cap on Fibre-to-the-Premises (FTTP) connections.
“Altice believes that the UK provides a sound environment for substantial long-term investment. This is supported by the current regulatory framework which offers BT the appropriate incentives to make the necessary investments,” Altice UK mentioned.
Investments within the UK have elevated considerably in current months as a consequence of its stronger-than-expected financial rebound from the pandemic and profitable COVID-19 vaccine rollout.
Earlier this week, Bank of England chief economist Andy Haldane in an interview on LBC’s Nick Ferrari at Breakfast present: “Growth across the UK is picking up at a real rate of knots, going gangbusters actually … that’s a great thing to see, certainly outstripping growth, not just in Europe, in pretty much most of the other G7 big advanced economies.”
Full-fibre broadband was a key pledge of Johnson’s authorities however, like most plans, was considerably derailed by COVID-19. Now some normality is returning, these plans are being dusted off as a part of the bid to “build back better” from the pandemic.
In a press release, the French group mentioned: “Altice UK has made this significant investment in BT as it believes that it has a compelling opportunity to deliver one of the UK government’s most important policies, namely the substantial expansion of access to a full-fibre, gigabit-capable broadband network throughout the UK.”
Find out extra about Digital Transformation Week North America, going down on November 9-10 2021, a digital occasion and convention exploring superior DTX methods for a ‘digital everything’ world.