The 2014 law gives the state the power to veto the sale of Altice to STC

The sale process of Altice Portugal is underway, but if it does not go ahead, due to the lack of satisfactory proposals, Altice Europe could proceed with the sale of the 50.01% of the fiber network it still owns, as an alternative, Jornal Economico found.

The issue is gaining importance at a time when the three non-binding proposals that were delivered appear to fall short of expectations, and Saudi Telecom is considered one of the parties concerned. This news raised the issue of whether there is a legal tool for the state to interfere in the buyer’s choice of MEO owner. Because Decree-Law No. 138/2014, issued on September 15, created during the government of Pedro Passos Coelho, creates a system for the protection of strategic assets that are considered “essential to ensure national defense and security and to provide the country with essential services of the country.” The national interest in the fields of energy, transportation and communications.” That is, the government has the ability to use this legislative mandate to object, for example, to the sale of Altice Portugal to STC, which already owns 9.9% of neighboring Telefónica. The existence of this decree-law could therefore increase the conditions for the proceeds of the sale of Altice Portugal, meaning that Patrick Drahi’s company could return, in mid-2024, to the asset sale strategy. Here the possibility of selling 50.01% of the company that owns the fiber optic network in Portugal emerges, which enters the equation again at a time when the French company wants to reduce the group’s heavy debts, which amount to about 55 thousand dollars. Millions.

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