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Atos considers sale of additional assets
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2023-11-28 16:49
IT service provider Atos said on Tuesday it was considering the sale of additional assets to address the

IT service provider Atos said on Tuesday it was considering the sale of additional assets to address the group's capital raising plan and upcoming debt maturities in 2025.

"Atos is assessing the feasibility to access the debt and equity capital markets, and/or is considering the sale of additional assets, to address its capital raising plan, the 1.5 billion euros term loan A maturing in January 2025 and the 750 million euros bonds maturing in May 2025," the group said in a statement.

Atos, which has seen its market value slump in recent years and has recently undergone numerous governance changes, also said that it was in advanced negotiations with Daniel Kretinsky's EP Equity Investment (EPEI) vehicle to modify and simplify certain terms of the proposed sale of its legacy operations division Tech Foundations.

Atos is in talks to sell its loss-making business Tech Foundations to Czech billionaire Kretinsky in a 2 billion euro ($2.11 billion) deal, an alternative to an earlier turnaround plan to split the company into two listed entities.

The deal would also see Kretinsky take a 7.5% stake in the group's cybersecurity unit, Eviden, which is what would be left of Atos.

S&P Global Ratings on Monday downgraded Atos' rating to 'BB-' from 'BB' on increasing liquidity risk.

According to the group, the impact of the rating downgrade on interest expense would be negligible and is expected to be about 6 million euros a year.

Atos' shares fall nearly 4% by 0829 GMT.

(Reporting by Diana Mandiá; Editing by Kirsten Donovan, Robert Birsel)