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How the Altice group will benefit from the merger between TF1 and M6

While the TF1 and M6 groups, Altice Media is on the lookout to recover the TFX and 6Ter channels. Exclusive negotiations are in progress.

TF1 and M6 are engaged in a merger project and this is Altice Media’s business. Patrick Drahi’s group (BFM, RMC, etc.) announced earlier this week that it had entered into exclusive negotiations with the two groups to take over TFX and 6ter. SFR’s parent company sees the possibility of strengthening its position on DTT; by recovering the channel 11 of the TF1 group and channel number 22 of M6.

The announcement is also good news for TF1 and M6. Indeed, the two entities must comply with French regulations on the “anti-concentration system”, provided for by law n°86-1067. Before its merger with Hadopi to give birth to Arcom, the CSA reminded TF1 and M6 that they had to sell three of the ten channels they own together. To carry out their merger project, the duo cannot hold more than seven chains.

“The sale of TFX would be part of the project to merge the TF1 and M6 groups […] It would contribute to ensuring that the combined group, in accordance with the legislation, does not publish more than seven national channels on DTT”, confirms TF1 in a press release. Same speech at M6 for the 6ter channel, which also evokes the situation of Paris Première.

To comply with the audiovisual law, the group led by Nicolas de Tavernost specifies that it “plans to restore the TNT frequency of the Paris Première channel”. Approval by Arcom is expected and does not affect cable and satellite networks. With this decision, the future group would be limited to seven channels on digital terrestrial television (TNT).

What will Altice do with the 6ter and TFX channels?

The amount of the disposals is not mentioned in the press releases, but theAFP indicates that Altice would pay “around 130 to 150 million euros” for both strings. The acquisition goes above all to Altice to position itself as the main challenger of the future French giant. “This operation contributes to the competitive dynamics of the French audiovisual landscape by strengthening an established player, already present in television with 3 national channels on DTT, as well as in radio and digital”, assures the TF1 group. Nevertheless, these decisions participate in the fear of a concentration of the French audiovisual landscape.

In the event of a merger between TF1 and M6, Altice would end up with five channels on DTT. Indeed, TFX and 6ter would join BFMTV, RMC Story and RMC Découverte. The group will not be free to completely change the editorial line of channels 11 and 22; Altice will have to respect the existing agreements. They provide that TFX offers “a service for all families” ; while 6ter bets on “generalist and diversified programming”.

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