The family that controls the Cogeco companies has rejected a second takeover offer from Altice USA Inc. and its Canadian partner, Rogers Communications Inc.
It’s the second offer the Audet family has rejected in as many months, saying in a statement Sunday night that “this is not a negotiating strategy, but a definitive refusal.”
Under the new offer, Altice would pay $11.1 billion in cash to buy all the shares of Cogeco Communications Inc. and its parent Cogeco Inc., including $900 million to buy the Audet family’s multiple voting shares and their subordinate shares.
That’s up from Altice’s previous offer of $10.3 billion, announced last month.
In both scenarios, Altice USA plans to keep only Cogeco’s U.S. cable assets and sell its Canadian assets to Rogers, which wants to expand its cable and internet territory in Ontario and make its entry into the Quebec market.
The price Rogers would get for its Cogeco shares would rise to $5.2 billion from $4.9 billion.
Altice’s revised offer includes $123 per share for all the remaining subordinate voting shares of Cogeco Inc. and $150 per share for all the remaining subordinate voting shares of Cogeco Communications, which are publicly traded on the Toronto Stock Exchange.