Altice USA Files IPO Documents

Long-awaited registration statement short on details

Altice USA, the domestic cable arm of European telecom giant Altice N.V., made good on its promise of last year, filing documents with the Securities and Exchange Commission Tuesday for an initial public offering of stock.

The registration statement did not include how much of the company Altice would offer to the public, when it would offer shares or at what price it expected to offer its stock. Those details are expected to come in later filings.

JP Morgan, Morgan Stanley, Citigroup and Goldman Sachs & Co. are serving as joint book-running managers for the proposed offering.

Altice said last year that it was contemplating an IPO. Its parent company is public already, trading on the Euronext exchange.

Altice USA could use the shares as a deal currency to roll up other cable companies or to provide some of its other investors – particularly BC Partners and the Canada Pension Plan Investment Board – a path toward monetization. While the prospectus stated that proceeds from the offering will be used for general corporate purposes, the company has not released further details.

In a note to clients concerning parent Altice N.V., Piotal Research Group CEO and senior media & communications analyst Jeff Wlodarczak wrote that he expected the coming Altice USA IPO to be well received by the markets, saying it should boost that asset's overall exposure given its srong growth profile and "receive a relatively rich valuation (closer to Charter rather than Comcast)."