Willkie Farr & Gallagher LLP
07/23/2024 | News release | Distributed by Public on 07/23/2024 08:46
Willkie Advises Bondholders' Steering Committee on Financial Restructuring of Atos
Willkie Advises Bondholders' Steering Committee on Financial Restructuring of Atos
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July 23, 2024
Willkie is advising the bondholders' steering committee on Atos SE's landmark financial restructuring. The bondholder group and a group of banks have agreed to a plan to restructure approximately €5 billion and committed as much as €1.675 billion in new financing for the French IT services provider.
Atos announced on July 15 that it had signed a lock-up agreement setting out the key terms of its financial restructuring with the bondholders' steering committee and a group of banks that comprise the majority of the company's creditors.
The financial restructuring of Atos includes the conversion of over €2.9 billion of debt into equity, a capital increase with preferential subscription rights for existing shareholders of €233 million (partly guaranteed by the participating creditors), and new secured financing of approximately €1.675 billion provided by its bank and bond creditors on an equal basis. In addition, Atos's main creditors have agreed to provide €800 million of interim financing to fund the business until close of the financial restructuring plan.
Atos plans to begin accelerated safeguard proceedings during the week of July 22 to obtain approval from the specialized Commercial Court of Nanterre to implement the financial restructuring plan.
Atos's financial restructuring is the largest lender-led restructuring in France to date in terms of new money injection, and one of the largest market transactions of 2024.
Atos is the leading European provider in cybersecurity, cloud and high-performance computing, providing tailored end-to-end solutions in 69 countries.
The Willkie team is led by restructuring partners Lionel Spizzichino and Batiste Saint-Guily with associates Joséphine Maire and Alcyde Le Poder, and includes finance partner Thomas Binet and associate Ralph Unger, corporate partner Gabriel Flandin and associates Victor Cann and Hugo Kerbib, and antitrust partner Faustine Viala and associate Charles Bodreau. The team also includes in New York finance partners Viktor Okasmaa and Weston Eguchi, counsel Ajanaclair Nicole Lynch, and associates Daniel Chesler, Shelby Epstein and Matthew Sanders.
Atos announced on July 15 that it had signed a lock-up agreement setting out the key terms of its financial restructuring with the bondholders' steering committee and a group of banks that comprise the majority of the company's creditors.
The financial restructuring of Atos includes the conversion of over €2.9 billion of debt into equity, a capital increase with preferential subscription rights for existing shareholders of €233 million (partly guaranteed by the participating creditors), and new secured financing of approximately €1.675 billion provided by its bank and bond creditors on an equal basis. In addition, Atos's main creditors have agreed to provide €800 million of interim financing to fund the business until close of the financial restructuring plan.
Atos plans to begin accelerated safeguard proceedings during the week of July 22 to obtain approval from the specialized Commercial Court of Nanterre to implement the financial restructuring plan.
Atos's financial restructuring is the largest lender-led restructuring in France to date in terms of new money injection, and one of the largest market transactions of 2024.
Atos is the leading European provider in cybersecurity, cloud and high-performance computing, providing tailored end-to-end solutions in 69 countries.
The Willkie team is led by restructuring partners Lionel Spizzichino and Batiste Saint-Guily with associates Joséphine Maire and Alcyde Le Poder, and includes finance partner Thomas Binet and associate Ralph Unger, corporate partner Gabriel Flandin and associates Victor Cann and Hugo Kerbib, and antitrust partner Faustine Viala and associate Charles Bodreau. The team also includes in New York finance partners Viktor Okasmaa and Weston Eguchi, counsel Ajanaclair Nicole Lynch, and associates Daniel Chesler, Shelby Epstein and Matthew Sanders.
Lionel Spizzichino PartnerBusiness Reorganization & Restructuring
Paris [email protected] +33 1 53 43 46 11
Batiste Saint-Guily PartnerBusiness Reorganization & Restructuring
Paris [email protected] +33 1 53 43 46 21
Joséphine Maire AssociateBusiness Reorganization & Restructuring
Paris [email protected] +33 1 53 43 4628
Alcyde Le Poder AssociateBusiness Reorganization & Restructuring
Paris [email protected] +33 1 53 43 4564