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French IT firm Atos falls 10%, faces major share dilution after selecting rescue deal

·1 min

Shares of a French IT company, Atos, dropped over 10% after announcing its decision to pursue a rescue deal proposed by major shareholder David Layani. This deal is expected to result in a significant dilution of existing shareholders. Atos had been considering two rescue options, one from Layani and another from Czech billionaire Daniel Kretinsky. Despite the dilution, Atos believes Layani’s proposal offers a stronger capital structure and sufficient financial liquidity. The deal is supported by Atos’ financial creditors and is anticipated to be implemented by July. Atos has been grappling with financial troubles, including high debt levels.