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‘This is not a negotiating strategy, but a definitive refusal,’ Cogeco’s Audet family says

The Audet family, which controls the Cogeco companies, rejected another takeover offer from Altice USA Inc. and Rogers Communications Inc.
The COGECO website is seen in Montreal on Wednesday, September 2, 2020. Cogeco Inc. and Cogeco Communications Inc. are facing a $10.3-billion offer that would see its U.S. business scooped up by a New York cable company and its Canadian assets head to long-time shareholder Rogers Communications Inc.
The COGECO website is seen in Montreal on Wednesday, September 2, 2020. Cogeco Inc. and Cogeco Communications Inc. are facing a $10.3-billion offer that would see its U.S. business scooped up by a New York cable company and its Canadian assets head to long-time shareholder Rogers Communications Inc. Paul Chiasson/The Canadian Press

The family that controls the Cogeco companies has rejected a second takeover offer from Altice USA Inc. and its Canadian partner, Rogers Communications Inc.

It’s the second offer the Audet family has rejected in as many months, saying in a statement Sunday night that “this is not a negotiating strategy, but a definitive refusal.”

Under the new offer, Altice would pay $11.1 billion in cash to buy all the shares of Cogeco Communications Inc. and its parent Cogeco Inc., including $900 million to buy the Audet family’s multiple voting shares and subordinate shares.

Read more: Cogeco staying the course despite costly promises by Rogers to invest in Quebec

That’s up from Altice’s previous offer of $10.3 billion, announced last month.

In both scenarios, Altice USA plans to keep only Cogeco’s U.S. cable assets and sell its Canadian assets to Rogers, which wants to expand its cable and internet territory in Ontario and make its entry into the Quebec market.

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The price Rogers would get for its Cogeco shares would rise to $5.2 billion from $4.9 billion.

Altice’s revised offer includes $123 per share for all the remaining subordinate voting shares of Cogeco Inc. and $150 per share for all the remaining subordinate voting shares of Cogeco Communications, which are publicly traded on the Toronto Stock Exchange.