Creditors Sue Altice International Over $5.4B in Alleged Fraudulent Transfers
OPTU sits 59% above its 52-week low of $0.583.
Summary
Creditors to Altice International, including Arini Capital, Invesco, and Diameter Capital, filed a New York state court lawsuit alleging Patrick Drahi orchestrated a multiyear scheme to move billions of dollars out of their reach. The complaint details $5.4 billion in intercompany loans shifted to parent Altice Luxembourg since 2021, a $680 million loan for BT shares that was never repaid, and the transfer of Caribbean and Portuguese businesses that previously generated nearly 80% of adjusted EBITDA. The creditor group holds roughly $9 billion in secured debt and seeks a default declaration, damages, and unwinding of the transactions. This follows a similar lawsuit against Optimum Communications two weeks ago and a July notice of default. The allegations directly implicate the broader Altice structure and intensify legal pressure on Drahi's telecom empire, with potential implications for Optimum's own creditor disputes and restructuring prospects.
At the time of this announcement, OPTU was trading at $0.93 on NYSE in the Trade & Services sector, with a market capitalization of approximately $358.1M. The 52-week trading range was $0.58 to $2.61. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.