Altice, the telecommunications group owned by French billionaire Patrick Drahi, has raised its stake in BT to 18 percent, up from 12.1 percent.
Drahi’s expanding position in BT has prompted concern among the company’s leadership and within the UK government. A Downing Street spokesperson said the situation is “being monitored carefully.”
The move follows a surprise purchase in June, when Altice paid £2.2 billion for a 12.1 percent stake in the British telecoms giant. Under UK takeover rules, Altice was restricted from increasing its holding until December 11. Shortly after that restriction expired, the group acquired an additional 5.9 percent.
Altice has publicly stated it does not intend to pursue a full takeover of BT. However, that position could change under certain circumstances, particularly if a third party becomes involved.
Drahi said his company “engages constructively” with BT and “looks forward to continuing that dialogue.” He added that Altice “continues to hold [BT] in high regard and remains fully supportive of their strategy, principally to play the pivotal role in delivering the expansion of access to a full fibre broadband network.”
Founded in 1846, BT is the world’s oldest telecoms company and a significant part of Britain’s corporate history. That legacy, combined with the critical nature of the nation’s telecoms infrastructure, has heightened government vigilance over the recent share purchases.
The UK government has warned it “will not hesitate to act if required to protect our critical national telecoms infrastructure.” In recent months officials have reviewed several foreign-led acquisitions and introduced new legislation that expands government powers to intervene in deals raising national security concerns. Those laws were expected to take effect in January 2022.
High-profile transactions currently under government scrutiny include NVIDIA’s proposed acquisition of chip designer Arm and the takeover of Newport Wafer Fab, Britain’s largest semiconductor manufacturer, by Chinese-owned Nexperia. Both deals are being investigated to assess any national security implications.
Altice’s increased holding in BT underscores ongoing debates about foreign investment in strategic sectors and the balance between encouraging capital inflows and safeguarding critical national infrastructure. For BT, the new shareholder dynamic adds pressure on management to demonstrate how it will protect national interests while pursuing its commercial strategy, notably the rollout of full-fibre broadband across the UK.
As scrutiny continues, observers will be watching whether Altice maintains its stated stance against a full takeover or whether further developments—such as alliances with other investors—might alter the company’s intentions and trigger additional regulatory responses.