Altice has made a binding and fully financed offer to purchase the Portuguese assets of Portugal Telecom from Brazil’s Oi.

In a statement, Altice says it values the assets, which consist of Portugal Telecom’s existing business outside Africa and excludes its Rio Forte debt securities, Oi treasury shares and Portugal Telecom financing vehicles, at €7.025 billion on a cash and debt-free basis.

The figure includes a €400 million earn-out related to the telco’s future revenues and €400 million on its future EBITDA less Capex.

It adds that if the offer is accepted, the transaction, net of financial debt and other purchase price adjustments, will be financed by new and existing cash from Altice.

According to Bloomberg, a successful bid would unwind a merger between Portugal Telecom and Oi, announced around year ago and designed to create a company able to compete more effectively with Telefónica and America Movil.

It adds that Altice has been seeking further acquisitions in Europe, where it already owns the cable operators Cabovisão and Oni and Portugal and recently bought France’s SFR as part of a plan to combine it with Numéricãble.