In 2024, the French IT group Atos went through a chaotic period marked by unsustainable debt. This difficult financial situation led to a series of events worthy of a Netflix series, with successive twists surrounding its restructuring attempt. Despite the obstacles, the hope for a revival in 2025 is on the horizon with the arrival of Philippe Salle at the helm of the group. For many employees, 2025 represents a possible redemption and the long-awaited renewal for a company that aspires to turn the page on past turbulence.
In 2024, the French IT group Atos underwent serious financial turbulence marked by unsustainable debt. Intensive efforts were implemented to save the company, including a recovery plan approved by the commercial court of Nanterre.
After the sale of its outsourcing division to Daniel Kretinsky failed and the acquisition project by Airbus fell through, an intense battle ensued between two competing proposals for the takeover of the company. Ultimately, the group was taken over by its creditors after the withdrawal of the consortium led by Onepoint.
High Expenses in Fees
These turnarounds have led to considerable expenses in fees, estimated at 168 million euros for the restructuring alone, with a total exceeding 600 million euros between 2022 and 2024, spread among the main consulting firms.
Employees, along with the new CEO Philippe Salle starting in February 2025, hope for a revival and a recovery of business activity despite still significant debt, with a horizon of 3 to 4 years to regain stability.
Atos in 2024: Between Financial Disorder and Reorganization
In 2024, the French IT group Atos had to navigate through a series of financial challenges. The debt, which became an unbearable burden, necessitated significant restructuring efforts. These complications culminated with the acceptance of a recovery plan by the commercial court of Nanterre, revealing the extent of the challenges faced. The banks with which Atos had to negotiate were put to the test by gross debt of nearly five billion euros.
In light of this situation, the financial restructuring was completed in mid-December, establishing a new framework for the future. The creditors, now the main shareholders, allowed for a capital increase of 233 million euros, although only 68 million were contributed by existing shareholders. Employees are pinning their hopes on 2025, especially with Philippe Salle, the future CEO, who could bring new life to the group as soon as he takes office in February.
Unexpected and Costly Ups and Downs
The efforts to save Atos did not lack twists and turns throughout the year. The project to sell the Tech Foundations division to Czech businessman Daniel Kretinsky failed in early 2024, followed by an unexpected withdrawal of Airbus regarding the acquisition of BDS activities. The battle for the takeover of the group between the Onepoint consortium and Daniel Kretinsky ultimately resolved in favor of Onepoint. However, the breakdown of negotiations by Onepoint in June marked an unexpected turning point.
Amidst these upheavals, the fees incurred in the restructuring processes are staggering, reaching 168 million euros. In total, more than 600 million euros have been distributed to various consultants between 2022 and 2024. This situation highlights the severity of Atos’s financial condition and the need for more rigorous management to avoid similar future crises.
New Horizons and Stabilization Opportunities
The year 2025 seems poised to be a pivotal period for Atos, with significant challenges to tackle. Commercial recovery is now one of the priorities to ensure a prosperous future. The approval of a second financial restructuring plan would be an undesirable but conceivable outcome if forecasts do not materialize by 2026.
The next general assembly, scheduled for January 31, 2025, could prove decisive. Discussions around the French government’s offer to acquire high-performance computing activities until May 31, 2025, must also be closely monitored. These decisions could enable Atos to consolidate its positions and ensure sustainable stabilization in the market. For more information on similar changes in the sector, check out this article about the former leader of ArianeGroup.
