Atos, the French IT company, has secured €1.675 billion ($1.82 billion) in funding from banks and bondholders to restructure its debt. This agreement covers over 50% of Atos’ creditors and provides the company with the financial stability needed to move forward.
The funding comes from a lock-up agreement that allows Atos to restructure its debt obligations. This includes €800 million in interim financing, with €450 million immediately available, ensuring Atos has the liquidity to continue operating until the restructuring is complete. The remaining creditors have until July 22 to join the agreement.
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Despite the significant financial support, Atos will remain “not controlled” by its creditors. The Board of Directors will continue to be led by a majority of independent directors. However, certain creditors will have the right to propose board appointments or observers.
The successful debt restructuring has been positively received by investors, with Atos’ share price surging by approximately 10% in early trading in Paris. The new governance structure will be announced following the completion of the restructuring, which is expected by the end of 2024 or early 2025.