Patrick Drahi Squeezes Holders of $22 Billion Optimum Debt as 2027 Maturities Loom
Updated
Updated · Bloomberg · Jun 11
Patrick Drahi Squeezes Holders of $22 Billion Optimum Debt as 2027 Maturities Loom
2 articles · Updated · Bloomberg · Jun 11
Summary
$22 billion of Optimum Communications debt has been pushed into a tighter corner by Patrick Drahi, extending the hardline restructuring tactics he recently used in France.
Optimum — formerly Altice USA — is struggling in the highly competitive cable-TV and broadband markets while carrying borrowings described as unsustainable.
Debt maturities start coming due next April, increasing pressure on creditors as the company seeks room to manage its capital structure.
The squeeze comes after a steep erosion in equity value: Optimum's market capitalization has fallen from $16 billion to about $600 million over the past five years.