Optimum Communications Inc (OPTU) Odd Lot Tender

The following is for informational purposes only and not meant to be investment, legal, or tax advice. Please consult a CPA or an investment professional.

Current Price: ~$1.08

Tender Range/Price: $2.50

Tender Date: 06/30/26

Odd lot provision: Yes

Tender offer size: $300m

Tender Offer Announcement

Tender Offer to Purchase

Odd lot tenders

Read my Guide to Odd Lot Tenders before attempting this or any other similar trades.

The trade:

Buy 99 shares of OPTU and tender at $2.50. Your profit is the difference between your purchase price and $2.50.

A great writeup on this trade that discusses the risks and the potential logic behind the company’s moves is available here.

Unique considerations:

OPTU trades about 5m shares a day, but it is still probably best practice to use a limit order.

Repurchase history:

The company which was formerly Altice USA did a 64.8m share tender offer at $36 per share in November of 2020.

Risks:

There are significant risks associated with this tender offer. OPTU is doing this tender as part of a transaction wherein a subsidiary of the company raised $300m via a preferred debt sale and $200m preferred unit exchange with the company’s controlling shareholder both of which are mentioned in an 8k on June 1, 2026. As of Q1 2026 the company had $26.3B in debt and only $1m of cash. The maneuvers it engaged in on June 1^st are likely intended to strengthen its hand when it has discussions with creditors and to potentially avoid a $4B federal tax liability that would allegedly occur upon deconsolidation.

Given these risks it likely makes sense to wait until closer to the tender offer date as in my estimation there is a greater risk of cancellation than with a “normal” tender offer. However, given the roughly $110 being risked to receive $250 (~$140 in profit), its not a significant amount of capital to lose if it doesn’t work out.