Altice Europe NV (ALLVF)

[ModerateMan]

Merging with OI, up-up and away!

If you're buying into PT now, you have to remember that they should finish off a merger with OI (BR) in 2014.

http://www.bloomberg.com/news/2013-10-02/portugal-telecom-to-combine-with-oi-into-carrier-led-by-bava.html

Key component to remember if you're considering a purchase:
As part of the terms of the Oi transaction, each Portugal Telecom share will be exchanged into 0.633 share of the enlarged company, plus the equivalent of 2.29 euros in the new entity’s shares at the price of the planned capital increase. Oi investors will get 1 share in the new company for each Oi voting share or 0.92 share of the new company for each non-voting Oi share.

(Where I get confused is how exactly to calculate what the 2.29 euros come out to?)

This puts PT/BR in a better competitive playing field against Telefonica, which means the prospects could be very, very good:
?? Company name?? Price?? Change?? Chg %?? Mkt Cap??
PT Portugal Telecom, ... 4.30 +0.05 1.18% 3.68B
TEF Telefonica S.A. (... 16.47 +0.12 0.73% 74.17B
OIBR Oi SA (ADR) 1.51 -0.02 -1.31% 2.48B