French tech group Atos reaches restructuring deal giving creditors control
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Loading... - Bogdan Sidorov
- 01 Jul 2024
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Atos' creditors reach a restructuring agreement with the company that gives them control of the troubled French IT services company. Instead of an outside investor, ATOS' creditors will take control of the company.
According to a statement released on Sunday (Jun 30), bondholders and lenders have agreed to convert 2.9 billion euros (S$4.2 billion) in loans and bonds into equity, provide up to 1.68 billion euros in new debt, and inject 233 million euros in new equity, either by themselves or in conjunction with a private industrial investor.
The debt holders participating in the new debt stand to gain more from the deal's economics if they conduct the transaction independently. The restructuring will result in a near-zero value of existing shareholders' equity.
A fee of fifty basis points will be paid to creditors who sign the lock-up agreement by July 12.
Atos bonds due 2025 rose simply over 0.7 pennies as of 7.59 am London time on Monday morning, yet stay a somewhere down in upset area, exchanging at around 13 pennies on the euro.
Atos requested that lenders leave the entryway open to an anchor financial backer for the value infusion, as per individuals with information regarding this situation, who asked not to be recognized in light of the fact that the discussions are private.
