Xerox ITO moves over to Atos

USA: Atos has completed the acquisition of Xerox ITO at a net purchase price that totaled $ 966 million (€ 811 million), composed of $ 950 million and an additional amount of $ 50 million following the occurrence of certain events prior to closing, plus $100 million representing the estimated present value of future tax benefits to Atos.

Net debt items and closing adjustments amounted to $ 134 million to be confirmed within 90 days. With circa $ two billion revenue, North America becomes the largest geography for Atos where it is now ranked number 9 in ITO services.

Atos is focused on business technology and the Group is the Worldwide Information Technology Partner for the Olympic & Paralympic Games and is listed on the Euronext Paris market.

Since the announcement of the acquisition in December 2014, Atos and Xerox ITO teams have worked together to ensure operational readiness on the first day after closing. As a result, Atos, as it added in the recent update, now has the ability to offer its European and US clients the necessary presence to better support their digital transformation needs anywhere in the world. Atos will leverage the Xerox ITO customer centric approach and Atos’ industrial capacities and portfolio of cutting-edge services and technologies, particularly in Cloud, Big Data, Cyber-security, and in High Power Computing to support clients handle the massive volumes of data generated in the digital world.

As announced at the time of signing, Atos now enters into a worldwide strategic collaboration with Xerox – a global business services, technology, and document management company – and becomes one of Xerox’s primary IT services providers.

Commenting on the finalization of the deal, Thierry Breton, Chairman and CEO said: “Today marks a major step in the development of the Atos Group, as we welcome 9,600 Xerox ITO employees to Atos. With the US now our largest market, we have a stronger and more balanced global presence, which combined with our digital skills, allows us to be the trusted partner for our clients’ digital journey anywhere in the world.”

Michel-Alain Proch, Group SEVP, who has been appointed CEO for North America operations added: “Together with Xerox teams, we have worked extensively to be ready from day one post-closing and we are now fully operational to ensure continued delivery of services to our clients while at the same time leveraging the combined strengths of the two groups for profitable growth.”