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The French authorities has proposed shopping for key property of Atos, the closely indebted expertise firm, as a result of Paris desires to maintain them in nationwide palms.
The state desires to buy three strategic elements of Atos: tremendous calculators for quantum computing, that are utilized by the French military for the nation’s nuclear weapons programme; safe communications tech additionally utilised by the navy; and sure cyber safety property.
Amid considerations in Paris that overseas buyers, together with hedge funds, may achieve management of Atos in an upcoming restructuring of its €3.9bn debt load, finance minister Bruno Le Maire mentioned on Sunday that the state had despatched a non-binding letter of intent to the French firm about buying the property.
“There are sovereign assets in Atos that must stay within the exclusive control of France,” Le Maire instructed information channel LCI. “We have signalled our interest in acquiring all the strategic assets of Atos.”
The authorities’s letter of intent was made by way of the APE, an company that manages the French state’s stakes in firms together with utility EDF and telecoms group Orange.
Atos, chaired by former UniCredit boss Jean Pierre Mustier, declined to remark.
The French authorities stayed out of the a lot of the turmoil at Atos, as the corporate churned via a number of chief executives and made a number of strategic U-turns previously three years.
But as Atos’ monetary place worsened, the state in early April introduced it will present a €50mn quick time period mortgage and create a “golden share” system for the corporate’s delicate property, which might enable ministers to dam any acquisitions they didn’t approve of.
The property the federal government was proposing to purchase generated about €900mn in annual revenues and employed 4,000 individuals, an financial system ministry official mentioned.
That represents lower than 10 per cent of Atos’s 2023 gross sales, and 4 per cent of the entire workforce.
The French authorities’s proposal was not a compelled nationalisation, the financial ministry official mentioned.
The state was searching for to have interaction in negotiations with Atos forward of probably making a agency supply by June, they added.
Le Maire mentioned the federal government would search to rally French industrial teams to affix its bid in a consortium.
“We will see what other players might want to participate — it will only be French groups in strategic sectors such as defence or aerospace,” Le Maire mentioned.
Dassault Aviation, the French maker of Rafale fighter jets, has beforehand expressed curiosity in a few of Atos’ property, in response to individuals briefed on the state of affairs.
Thales, the French defence electronics group, can be one other potential participant for the state to enlist.
Thales declined to remark, whereas Dassault didn’t reply.
Atos has had varied failed talks with people and firms taken with shopping for a few of its property, because the group has sought to boost money to scale back its debt load.
They embody Czech billionaire Daniel Křetínský and Airbus.
Atos has requested for proposals by Friday from high shareholders and collectors with the purpose of reducing its debt by not less than €2.4bn. It may have €1.2bn in new fairness and debt.