Airbus has proposed a non-binding offer of 1.5-1.8 billion euros ($1.6-$2.0 billion) to acquire Atos’s cybersecurity unit BDS. This move comes as Airbus aims to bolster its finances and is part of Atos’s broader asset sale plan to revive its fortunes after facing various setbacks and governance crises. The potential deal, a significant step by Atos’s new Chair Jean-Pierre Mustier, follows the company’s struggles, including a poorly received takeover plan for U.S. rival DXC in 2021 and accounting issues, leading to three CEO changes in less than two years.
Atos also disclosed that talks to sell its Tech Foundations arm, which is currently loss-making, were taking longer than expected. The company did not rule out using “legal protection mechanisms” in discussions with creditors if talks with banks did not progress. Airbus sees the acquisition of BDS as a means to accelerate its digital transformation, strengthening its defense and security portfolio with enhanced capabilities in cybersecurity, advanced computing, and artificial intelligence.
While Atos shares initially rose more than 10% in early trade, they later dropped by 4.8% at 1230 GMT. Atos intends to enter due diligence talks with Airbus, and it’s noteworthy that Airbus had previously sought a stake in Atos’s Evidian division, including BDS, but abandoned the plan due to opposition from some shareholders.
In addition to Airbus, an unidentified third party has expressed non-binding interest in acquiring part of BDS. The Financial Times reported that French electronics maker Thales has been considering its options.
Atos is concurrently negotiating the sale of its Tech Foundations arm to Czech billionaire Daniel Kretinsky’s EPEI. However, the negotiations are taking longer than planned, and Atos is assessing options, including reducing the capital increase, which may impact EPEI’s stake in Eviden.
Atos is also in discussions with banks regarding financing and refinancing. The group plans two six-month extensions to a 1.5 billion euro loan, with the first effective from Jan. 29. The outcome of these measures will be evaluated over the first quarter to determine their sufficiency for covering financing maturities and long-term cash requirements.