LONDON, July 28 (Reuters) - French telecoms firm TDF is studying options for its fibre business including a sale, four people familiar with the matter told Reuters, in a deal that could value the fibre unit upwards of 1 billion euros.
The sellers are looking for as much as 1.3 billion to 1.6 billion euros for the fibre unit, according to one of the people, a price that buyers may find difficult to swallow.
TDF - a former unit of France's leading telecoms operator Orange - provides broadcasting, fibre and telecoms infrastructure with some of its radio antennas sitting on top of the Eiffel Tower in Paris.
The fibre unit's EbitdaAL, which deducts the cost of the leases from EBITDA, reached 28.7 million euros last year up from 21.6 million euros a year earlier, while revenues grew 42.8% to 52 million euros, according to TDF’s latest annual results.
Two of the sources said the fibre unit's valuation will depend on the number of homes connected to fibre, market penetration and growth rate.
Persons:
Brookfield, Sweden's, Les Echos, Andres Gonzalez, Amy, Jo Crowley, Jonathan Oatis
Organizations:
TDF, Reuters, Brookfield Asset Management, BNP Paribas, BNP, Brookfield, Orange, Eiffel, Sweden's EQT Partners, PSP Investments, APG, Management, Arcus Infrastructure Partners, Agricole, CAA, Thomson
Locations:
Paris, Europe, TDF, EBITDA