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French tech group Atos mentioned Czech billionaire Daniel Křetínský and David Layani’s Onepoint have made gives to bail out the closely indebted group because it races to strike a restructuring deal this month.
The Paris-listed group, which faces €3.65bn in debt repayments by the top of subsequent 12 months, mentioned on Monday that it had acquired gives from 4 events.
Křetínský, who had beforehand failed in an try to purchase the oldest a part of Atos targeted on managing IT programs, has teamed up with London-based hedge fund Attestor on its new provide.
Onepoint, the most important shareholder in Atos, put ahead a separate proposal backed by funding agency Butler Industries. US non-public fairness agency Bain additionally made an strategy, although Atos determined to not pursue the discussions, saying the provide failed to satisfy its targets. The fourth provide got here from a consortium of the IT firm’s bondholders and financial institution collectors.
“Any answer will in all probability contain radical modifications to the capital construction of the corporate and a big issuance of recent fairness securities which can end in large dilution of current shareholders,” Atos mentioned in an announcement.
The group’s plight has deteriorated this 12 months, with credit score companies repeatedly chopping its score. It has churned by executives whereas its share worth has collapsed greater than 90 per cent up to now three years, giving it a market worth of simply €250mn. Its shares jumped as a lot as 12 per cent in early buying and selling on Monday in Paris earlier than giving up the beneficial properties.
In an indication of the worsening image, Atos has not too long ago upped its projected funding wants to remain afloat by 2025 to €1.7bn. The corporate mentioned on Monday {that a} €100mn deal for short-term financing with bondholders had been agreed whereas talks with banks and the French authorities to safe an extra €350mn are ongoing.
Talks with the French authorities that might see the latter take management of property deemed to be of strategic significance are additionally persevering with, Atos mentioned. France’s finance minister Bruno Le Maire has beforehand mentioned the federal government had made a proposal to purchase key property for as much as €1bn.
The authorities desires to buy three components of Atos: tremendous calculators for quantum computing, that are utilized by the French military for the nation’s nuclear weapons programme; safe communications tech additionally utilized by the navy; and sure cyber safety property. The corporate is about to offer cyber safety companies for this summer time’s Paris Olympics.
Till not too long ago, the federal government had remained at arm’s size from the turmoil at Atos, which is chaired by former UniCredit boss Jean Pierre Mustier, whilst a number of makes an attempt to restructure the corporate and promote property fell aside.
As the corporate’s monetary scenario has worsened, nonetheless, the federal government has stepped in to offer a short-term mortgage and create a “golden share” that may very well be utilized to the corporate’s strategic property, permitting ministers to dam their potential sale.
