Altice France launches amendment and extension of U.S. and euro loans

By Sara Rosenberg

New York, Jan. 19 – Altice France was scheduled to hold a lender call at 11:30 a.m. ET on Thursday to launch an amendment and extension of its existing $1.42 billion term loan B due July 2025, $2.15 billion term loan B due January 2026, $2.5 billion term loan B due August 2026, €1.145 billion term loan B due July 2025 and €1 billion term loan B due January 2026, according to a market source.

The term loans will be extended into new U.S. and euro term loans due August 2028.

Price talk on the U.S. extended term loans is SOFR plus 550 basis points with a 0% floor and no CSA, and talk on the extended euro term loan is Euribor plus 550 bps with a 0% floor, the source said.

The extended U.S. and euro term loans that are currently due in 2025 are talked with an original issue discount of 97, and the extended U.S. and euro term loans that are currently due in 2026 are talked with a discount of 98.

The extended term loans have 101 soft call protection for one year.

Covenants will be the same as the existing term loans except for the following changes: J-Crew blocker added, usage of the unrestricted subsidiary investment basket subject to compliance with a 3.5x net secured leverage ratio, protection on changes to pro rata sharing regime added, general debt basket available for non-guarantors subject to compliance with a 3.5x net secured leverage ratio, asset sale proceeds/XpFibre distributions to be applied to deleverage, unless in compliance with 3.5x net secured leverage ratio, 0 bps all-in yield MFN for life triggered by new incremental loans that refinance remaining stub 2025 and 2026 term loans, and springing maturity to any debt maturing prior to August 2028.

Expected term loan ratings are B2/B.

JPMorgan Chase Bank is the U.S. active bookrunner, with Barclays, Credit Agricole, Natixis, Societe Generale, Morgan Stanley Senior Funding Inc., BofA Securities Inc., Citigroup Global Markets Inc., ING and RBC Capital Markets acting as passive bookrunners. BNP Paribas Securities Corp. and Goldman Sachs are the euro active bookrunners, with Barclays, Credit Agricole, Natixis, Societe Generale, Morgan Stanley, BofA Securities, Citigroup, Deutsche Bank, ING and RBC acting as passive bookrunners. JPMorgan is the agent.

Commitments for the U.S. debt are due by 5 p.m. ET on Wednesday and commitments for the euro debt are due at noon ET on Wednesday, the source added.

Allocations are expected on Jan. 26.

Current pricing on the 2025 U.S. term loan is SOFR plus 275 bps, current pricing on the U.S. January 2026 term loan is SOFR plus 368.75 bps, current pricing on the U.S. August 2026 term loan is SOFR plus 400 bps, and current pricing on the euro term loans is Euribor plus 300 bps.

Along with the extension of the term loans, the company is extending its revolving credit facilities to January 2028.

The company plans to use €224 million of cash on the balance sheet to pay transaction fees and expenses.

Net secured leverage after the transaction is 4.5x.

Altice is a cable, telecommunications and entertainment company.

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