Creditors holding €8 billion in debt issued a formal default notice to Patrick Drahi’s Altice International. The group alleges the telecom company breached borrowing agreements by moving collateral assets out of reach.
Altice International shifted its Portuguese and Dominican Republic operations out of the security pool through a drop-down transaction. These specific operations account for approximately 80% of the company’s total earnings.
Bondholders claim this asset stripping and several inter-company loans have improperly weakened their security. This dispute could trigger a prolonged legal battle and demands for immediate repayment of the debt.