Atos plans to split into two companies in 2023 ‘at the earliest’

Atos plans to split into two companies in 2023 ‘at the earliest’

The French group says it will complete its split in 2023 “at the earliest”.

Atos’s plan to split into two publicly listed companies will be completed by mid-2023 at the earliest, the French IT consulting group told Reuters on Tuesday, contradicting an earlier report by French media BFM TV. In a written statement sent to Reuters, Atos said the split-up plan would become “effective at the earliest on July 1 2023, and at the latest on December 31 2023”.

Prior to the statement, French media BFM TV reported that the split would be completed “earlier than scheduled” by the end of next June. BFM also reported that Bertrand Meunier, chairman of the group, would leave once the split is completed. Atos contradicted the statement by commenting that, following the split, the organization would “retain its current governance bodies”.

Atos stock

Atos’ shares were up 5.3 percent following the news. The stock lost half its market value last year after accounting errors and a failed attempt to acquire a US company precipitated a loss in investor confidence and the departure of two executives, Elie Girard and Rodolphe Belmer.

A minority shareholder in September had called for Meunier to resign as Atos shares traded near 30-year lows amid scepticism about its restructuring plan.

As part of the split-up, the firm is considering spinning off its big data and security services in a new company dubbed Evidian, which is currently an Atos brand. The remaining part of Atos will include its declining and loss-making IT infrastructure management services, which generated sales of 5.4 billion euros ($5.33 billion) last year.