Numericable to float up to 40% in IPO


euro8_170sqPrivate equity-backed French cable company Numericable is set to float a stake of between 20 and 40 per cent at its upcoming IPO.

The IPO is expected to value the business at €5bn, said Reuters, citing sources. Numericable will also receive €200m to €250m of new capital to reduce its debt.

“The IPO will give our shareholders a window of liquidity and also gives us the means to invest more in our network to drive growth,” said CEO Eric Denoyer, according to the report.

“By increasing our capital expenditure, we will enter a new growth cycle. Where we have upgraded out network, we sell more services.”

In June Cinven, Carlyle and Altice, which bought the business in 2006, hired Rothschild to prepare for Numericable’s IPO on the Paris stock exchange.

The trio asked about ten banks to submit proposals for a potential listing earlier this year, and have now made their choice according to Reuters, which cited four sources with knowledge of the plan.

Cinven is looking to exit its stake in Numericable via the IPO, while Carlyle and Altice are expected to keep their stakes.

Copyright © 2013 AltAssets