Liberty Global to complete Sunrise spin-off in Q4

Industry:    3 months ago

Liberty Global will spin off its Swiss telecoms operator Sunrise to shareholders in the fourth quarter of 2024, it said on Monday.

Liberty Global, set up by U.S. cable pioneer John Malone, had previously said it would spin off Sunrise on the SIX Swiss Exchange in the second half of the year.

Sunrise, which will be 100% spun off, gave financial details to analysts and investors at an event in Opfikon on the outskirts of Zurich.

The company, which provide mobile, landline, broadband and TV services, reconfirmed its financial outlook, saying it still expected broadly stable revenues for 2024 and 2025, without giving any figures.

It expects adjusted free cash flow of 360 million Swiss francs to 370 million francs ($424 million – $436 million) for 2024, rising to 370-390 million francs in 2025. In the mid-term, it expects the figure to rise to more than 410 million francs.

It plans a dividend payout of around 240 million francs for 2024, with a future dividend policy of paying out up to 70% of adjusted free cashflow.

CEO Andre Krause said Sunrise, which was bought by Liberty Global for $7.4 billion in 2020, would succeed as a standalone company.

“I am confident that this new company represents a compelling investment opportunity as the only pure play Swiss-listed telco, with a strong free cash flow profile that will underpin an attractive shareholder return policy,” he said in a statement.

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