Atos completes the acquisition of Xerox ITO
Date: Mon, 07/06/2015 - 12:28
Michel-Alain Proch, Group SEVP, has been appointed CEO for North America operations
Image credited to Atos
Atos, an international leader in digital services, announced that it has completed the acquisition of Xerox ITO which reinforces its position as a global leader in digital services.
The net purchase price totaled US$ 966 million (€ 811 million), composed of US$ 950 million and an additional amount of US$ 50 million following the occurrence of certain events prior to closing, plus US$100 million representing the estimated present value of future tax benefits to Atos. Net debt items and closing adjustments amounted to US$ 134 million to be confirmed within 90 days.
With circa US$ 2 billion revenue, North America becomes the largest geography for Atos where it is now ranked number 9 in ITO services.
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 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 today 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.”