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Altice USA Shares rose as much as about 50% on Monday following a report Charter communication is considering buying the broadband company.
Charter is working with financial advisers to consider whether it would make sense to buy Altice USA, Bloomberg reported Monday, citing people with knowledge of the matter. It is unclear whether Charter has taken a formal approach, the outlet added.
Shares of the larger company fell nearly 2% Monday afternoon.
Charter declined to comment on the report, while Altice USA could not immediately be reached for comment.
The deal would bring significant consolidation at a time when major communications companies are struggling to retain broadband and cable customers. Shares of Altice USA had plunged more than 40% this year before Monday’s jump, while Charter’s shares have fallen about 25%.
Altice USA owns brands led by broadband, TV and phone company Optimum. The company has around 5 million customers.
Charter significantly exceeds its size with 32 million broadband and cable subscribers.
— CNBC’s Alex Sherman contributed reporting
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2024-02-26 20:03:13
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