Atos to Sell Tech Foundations Business, Creating Stand-Alone Company Eviden SE
Global solution provider Atos is moving forward with its plan to split its business into two entities, with the sale of its Tech Foundations business to private equity firm EP Equity Investment. The deal, valued at 2.0 billion Euros ($2.2 billion), will include the Atos brand name.
Once the sale is finalized, Atos’ Eviden business will be rebranded as Eviden SE. This move is part of Atos’ strategy to focus on digital transformation and create separate entities for different business lines.
The Tech Foundations business, which focuses on managed services, hybrid cloud, infrastructure, and technology services, will become a standalone company under the ownership of EP Equity Investment. Meanwhile, Eviden will continue to operate in the digital, cloud, big data, and security sectors.
Atos’ board of directors has approved the deal, and shareholder approval will be sought during an upcoming extraordinary general meeting. The transaction is expected to close in the fourth quarter of 2023 or the first quarter of 2024.
This sale is part of Atos’ ongoing efforts to streamline its operations and focus on core business areas. The company recently reported flat revenue for the first half of the year and has been divesting non-core assets to strengthen its financial position.
In addition to the Tech Foundations sale, Atos has also completed other asset sales, including the sale of its EcoAct SAS business and its Italian operations. The company is also in negotiations with Mitel Networks for the sale of its Unified Communications & Collaboration Services businesses.
While a proposed sale of Eviden’s Evidian security software business fell through, Atos remains committed to exploring cybersecurity partnerships with companies like Airbus.