The sale of French fibre infrastructure company XpFibre appears to be moving forward again, with several major investment firms reportedly advancing to the next stage of the bidding process. The business, controlled by telecoms billionaire Patrick Drahi through his Altice group, has attracted preliminary offers valuing it at around €8 billion including debt. (Bloomberg)
Sources close to the process indicate that Altice has shortlisted a group of global infrastructure investors for the next round. Among those said to be progressing are DigitalBridge Group, KKR, Brookfield Asset Management and Vauban Infrastructure Partners. The firms are expected to submit second-round bids in the coming weeks, which could determine whether the long-running effort to sell the asset finally leads to a transaction.
Altice holds a 50.01% stake in XpFibre, and Drahi has been attempting to divest the holding for some time as part of a broader strategy to reduce the group’s sizeable debt burden. However, he has consistently signalled that he is not prepared to sell the business at a discount. Previous reports suggested that Drahi was aiming for a valuation of around €10 billion, while potential buyers were believed to be considering offers in the €7 billion to €8 billion range. The first round of bids appears to have landed at the top end of that range, leaving a potential gap between seller expectations and investor appetite.
This is not the first time Altice has attempted to sell XpFibre. Earlier efforts in 2024 reportedly attracted interest from several infrastructure investors but ultimately failed to result in a deal. Valuation differences were widely cited as a key obstacle, although market timing may also have played a role. Since then, Altice has completed a debt restructuring that could make asset sales easier to execute.
The potential divestment comes as Altice also explores strategic options for its French mobile operator SFR. Although the two processes are formally separate, they are closely linked commercially, as SFR is a major customer of XpFibre. Any changes to SFR’s ownership or market structure could therefore have implications for the fibre network’s future revenues. For now, attention will focus on the next round of bids and whether they bring Drahi closer to the valuation he is seeking.
