Drahi’s Coup de Théâtre: Exploring Altice France’s Market-Shaking Restructuring 

Summary 

Altice France’s financial restructuring has been the talk of the European credit market, and for good reason. Spearheaded by Patrick Drahi, the controversial telecommunications giant has taken steps to address its massive leverage through a proposed restructuring deal. This webinar, led by Chetna Mistry (Senior Director), Luca Rossi (Deputy Managing Editor), and Nikhil Varsani (Credit Analyst) from Octus, breaks down the deal and its implications for creditors, stakeholders, and the broader market. 

Here’s what makes the story compelling:

• Market Shock: Altice France’s sudden Q4 earnings revelation last year sent shockwaves across the credit market with hints of creditor participation in discounted transactions and potential impairments. 
• Controversial Founder Moves: Drahi’s control of the deal and his sale of valuable assets outside creditors’ reach added complexity and stirred skepticism. 
• A Fine Balance: After contentious negotiations, creditors and Drahi agreed on a deal that included significant concessions. Secured creditors gained a 30% equity stake while unsecured creditors received better-than-expected recoveries of 34%. 
• Challenges Ahead: The resulting 4.6x leverage leaves little room for error, making near-term asset stabilization and potential asset sales crucial. 

Rossi and Varsani detailed the intense creditor dynamics that shaped the deal—balancing competing agendas, cooperation agreements, and fears of creditor-on-creditor conflict. With lessons for the entire European credit market, the session highlights how restructuring deals are becoming more political amid evolving debt negotiations. 

To hear how the restructuring unfolded in detail and what this means for the European market, watch the replay.