Atos, the Games’ tech partner, plummets in H1

Headquarters of the French multinational information technology company Atos in Paris. GETTY IMAGES

French technology giant Atos, a key partner of the Olympic Games, has announced a loss of €1.9 billion for the first half of the year. The fall is mainly due to asset write-downs and the termination of several contracts in the Americas.

Last week, a commercial court initiated a process that marks the first step towards a financial restructuring plan for the company. The plan calls for an injection of €1.75 billion in new funds and a debt reduction of €3.1 billion. The restructuring comes after a consortium led by Onepoint, the group’s main shareholder, withdrew from a financial rescue offer. In response, Atos’ creditors will provide €1.68 billion in new debt and €223 million in new equity, a complex move that finally materialised last week.

With the majority of its creditors having agreed to the deal, the proceedings opened by the French court will help ensure that it can be completed without Atos facing further difficulties. A hearing has been provisionally set for 15 October to finalise the deal. This will also mean that the value of the shares will be significantly diluted, but could mark the end of years of economic turbulence at what is one of France’s most important technology companies.

Jean-Pierre Mustier current president of the Atos company. GETTY IMAGES
Jean-Pierre Mustier current president of the Atos company. GETTY IMAGES

Jean-Pierre Mustier, who took over as CEO last week after chairing the board since October 2023, expressed optimism about the company’s future. “We are in a strong position to move forward,” Mustier said. “The restructuring is a crucial step in restoring our financial stability and continuing to support the group’s growth.” Mustier also stressed that one of his top priorities is to regain customer confidence and work on a new governance structure.

The financial impact of the first half is largely due to asset write-downs totalling €1.5 billion. In addition, Atos experienced contract terminations in the Americas, resulting in a loss of €109 million. The company’s global sales fell by 10% compared to the same period last year, leaving it facing a total debt of close to €5 billion.

Despite these challenges, Atos, which was already the IT provider for the Euro 2024 football tournament, continues to play a crucial role in international events. As a partner of the International Olympic Committee since 2002, the company is in charge of cybersecurity, accreditation management and real-time results distribution for the Paris Olympic Games. The company is committed to maintaining its high quality of services during these crucial events as it faces its restructuring process.



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