Vodafone Group Plc is among companies considering a bid for Cabovisao, the cable TV business that Altice SA pledged to divest as part of its acquisition of telecommunications assets in Portugal, three people familiar with the talks said.
The Portuguese unit is valued at about 300 million euros ($323 million), two of the people said, asking not to be named because the discussions are private. Vodafone isn’t the only interested party and talks may continue for several months, one of the people said.
Vodafone has been expanding its network in Portugal as part of a broader effort to offer bundles of mobile and fixed services, such as Internet and TV. Chief Executive Officer Vittorio Colao said last year he was open to buying cable assets in Portugal to complement the company’s fiber buildout.
Vodafone spokesman Matt Morgan declined to comment, as did Arthur Dreyfuss, a spokesman for Altice. The Financial Times reported the talks earlier on Tuesday.
Altice agreed to buy Oi SA’s Portuguese telecommunications assets for 7.4 billion euros last year as billionaire owner Patrick Drahi looks to expand his empire in Europe. To approve the deal, regulators required Altice to sell Portuguese business-services unit ONI and Cabovisao.
At the end of last year, Portuguese assets were attracting the highest level of mergers and acquisitions activity since 2006 after Portugal exited its European Union and International Monetary Fund bailout program in May, according to data compiled by Bloomberg.