Atos agreed to 1.675 billion euros ($1.83 billion) of financing as part of its restructuring plan, backed by a group of banks and bondholders, WSJ Pro Bankruptcy reported. The French IT firm said on Monday that interim financing of EUR800 million is secured, providing the liquidity necessary to fund the business until close of the financial restructuring plan, and that EUR450 million is already accessible by the company.
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France’s state auditor said existing plans to repair “worrying” public finances lack credibility, sounding the alarm on the budget as political groups with expansive tax-and-spend policies jockey to form a new government after snap elections, Bloomberg News reported. President Emmanuel Macron’s outgoing administration pledged new spending cuts and revenue-boosting measures in April to get back on course with derailed plans to bring the budget deficit within 3% of economic output in 2027.
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One of the messages that helped propel the far-right National Rally to the brink of power in France’s parliamentary elections on Sunday — a once-unthinkable shift — is a common refrain in U.S. politics: It’s the economy, stupid, the New York Times reported. Both the National Rally and a coalition of left-wing parties called New Popular Front won large gains in part by tapping into anger over a cost-of-living crisis and a sense that President Emmanuel Macron had grown out of touch and did not understand their struggles.
Astorg, a private equity firm that manages €22 billion ($24 billion) in assets, is working with Evercore Inc. to explore various financing options as the company prepares for a generational change among its leadership, Bloomberg News reported. The Paris-based firm is assessing funding options, including scenarios that combine debt and equity, it said in an emailed statement Friday. Astorg said an outright sale isn’t being considered.
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The cost of hedging the franc overnight jumped early Wednesday by the most since the Swiss National Bank unexpectedly removed a floor for the currency in 2015, Bloomberg News reported. The sharp move came ahead of the SNB’s next decision on Thursday, given market uncertainty over whether policy makers could opt to cut interest rates and signal support for the currency through intervention. That made hedging the Swiss franc the day before a SNB meeting the most expensive since 2022.
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The French government has offered to buy some of Atos SE’s operations in its big data and security unit for an enterprise value of €700 million ($751 million) as part of discussions to restructure the embattled IT company, Bloomberg News reported. The non-binding bid, part of talks previously disclosed in April, is for the company’s supercomputers, “mission-critical” systems and cybersecurity activities in the Atos unit known as BDS, the company said in a statement on Friday. No final deal has been reached and discussions are continuing.
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Atos shares lost more of their value in early trading, adding to losses already reported this week as the French IT firm works on implementing its financial rescue, the Wall Street Journal reported. At 0743 GMT shares traded 5% lower at EUR0.73. The shares have lost around 37% of their value this week alone and are now down around 95% from a year ago.
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Atos SE chose a bailout proposal from a group led by David Layani’s Onepoint, its top shareholder, beating out a rival bid from Czech billionaire Daniel Kretinsky for the troubled French IT company, Bloomberg News reported. Onepoint’s rescue plan for the troubled French IT company, which includes new equity and reduced debt, has the support of the board and the company will now seek to reach a final agreement with its creditors by July, Atos said in a statement on Tuesday.
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French President Emmanuel Macron personally intervened to persuade Canadian Prime Minister Justin Trudeau to give Airbus and other aerospace firms relief from sanctions on Russian titanium, according to three people familiar with the matter, Reuters reported. The sensitive request was made during a phone call between the two leaders in March, weeks after Canada broke ranks with allies and slapped sanctions on the strategic metal, alarming France-based Airbus and others that still rely on Russian supplies in plants located in Canada or elsewhere.
Atos said that the French state offered to acquire parts of its big data and security arm for up to 1 billion euros ($1.07 billion), including debt, in a bid to prevent a collapse of the French army contractor and Paris Olympics information-technology partner, the Wall Street Journal reported. The French state’s interest could offer a potential lifeline to a company under pressure to reduce a heavy debt pile after previous attempts to offload the units fell through.
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