Bouygues, Orange, and Iliad Enter Exclusive Talks to Acquire SFR for €20.35 Billion

Bouygues Telecom, Orange, and Iliad entered exclusive negotiations on Friday, April 17, to acquire SFR from Altice France, with a joint offer valuing the assets at 20.35 billion euros. Patrick Drahi, the French-Israeli billionaire who controls Altice, accepted the bid, marking a potential turning point for the French telecommunications market. The deal, if completed, would reduce the number of major French operators from four to three. The three buyers and Altice issued a joint statement confirming the start of the exclusivity period, which runs until May 15, 2026. Altice France cautioned that there is no certainty the transaction will be finalized.

SFR, La Société française du radiotéléphone, was founded on November 18, 1987, and became a subsidiary of Altice France after Patrick Drahi's group acquired it in 2014. Drahi built his Altice conglomerate through a debt-fueled acquisition spree spanning the United States, Europe, and Israel. European telecoms operators have lobbied for decades for a relaxation of merger rules, arguing they are squeezed by big tech and video streaming companies that consume large amounts of bandwidth without contributing to network costs. The European telecoms market remains far more fragmented than the United States or China, each of which has roughly three major players. Antitrust regulators have historically been wary of in-market consolidation on the grounds that it risks raising prices for consumers.

Bouygues takes the largest share, 42 percent The three acquiring companies have already outlined how SFR's assets would be carved up among them. According to the joint statement, Bouygues Telecom would receive approximately 42 percent of the price and value, Iliad around 31 percent, and Orange roughly 27 percent. Bouygues is slated to take over SFR's B2B activity, which serves corporate clients, as well as SFR's mobile network in less densely populated areas. The consumer mobile and broadband business, along with its customer base, would be split among all three buyers. Mobile spectrum and other network infrastructure would also be distributed across the consortium, with the exception of assets in smaller towns and rural zones, which would go to Bouygues.

Bouygues Telecom: 42, Iliad (Free): 31, Orange: 27

October's 17 billion euro bid was rejected outright The current offer represents a significant increase over an earlier approach. In October, the same three companies submitted an initial joint buyout proposal of 17 billion euros, which Altice France "immediately rejected," according to Franceinfo. Discussions resumed in January 2026 following months of stalled negotiations, and a due diligence process was launched earlier this year before the new offer was submitted. The gap between the rejected bid and the accepted offer stands at 3.35 billion euros. For Drahi, the SFR sale is the latest in a series of divestments that have progressively dismantled his once-sprawling telecoms and media empire, as he seeks to reduce the heavy debt load that has repeatedly brought his group into conflict with lenders.

SFR takeover offer evolution: Offer value (before: 17 billion euros (October, rejected), after: 20.35 billion euros (April 17, accepted for exclusive talks)); Negotiation status (before: Offer immediately rejected by Altice France, after: Exclusive negotiations until May 15, 2026)

Unions warn of layoffs, regulators face a landmark test The proposed transaction has already drawn concern from multiple directions. Labour unions at SFR have sounded the alarm over the risk of mass layoffs if the deal proceeds, according to the Financial Times. The French government has said it will be vigilant. Regulatory approval is far from guaranteed: antitrust authorities have long resisted in-market consolidation in telecoms on the grounds that fewer competitors can translate into higher prices for consumers and businesses. The three buyers sought to address those concerns in their joint statement, arguing the deal would "help sustain and strengthen the entire digital economy and the telecommunications sector in France" and would reinforce investments in ultra-broadband network resilience, cybersecurity, and artificial intelligence. The SFR dossier is being watched beyond France's borders as both a market test and a regulatory test for European Union telecoms policy, at a moment when the European Commission is reportedly finalizing new merger guidelines that could ease consolidation rules across the bloc.

20.35 (billion euros) — Enterprise value of SFR in the new consortium offer