Story image

Will Atos be successful in its 'unsolicited' mission to buy out Gemalto?

13 Dec 2017

In what Gemalto is calling an ‘unsolicited’ acquisition bid, the company says it is reviewing an offer put to the company by Atos, a Europe-based digital service firm.

Atos is offering an all-cash offer of €46 (NZD$77.87) per share for all Gemalto issued and outstanding shares. It would also offer a premium of 42% to Gemalto’s last unaffected closing prices as of December 8, 2017.   According to Atos Chairman and CEO Thierry Breton, the company has been following Gemalto’s evolution as it becomes a leader in cybersecurity, IoT and payments. An acquisition would help Atos become a leading European payment services provider.   “Atos has carefully considered the interest of the stakeholders of the two groups, shareholders, employees, and customers which will all benefit from the proposed friendly transaction. In addition, Atos comes forward with a long track-record of successfully integrating management teams, employees and businesses,” Breton says.   Calculations from Atos say that the combination of technologies would result in a ‘worldwide leader’ with revenues of approximately €1.5 billion.   Gemalto’s offerings in identity and access management, data encryption and crypto management strongly complement Atos’ capabilities in Artificial Intelligence (AI), Big Data, High Performance Computers, and cloud orchestration,” Atos says in a press release.   “Atos is very confident in its ability to implement a smooth and successful integration of Gemalto’s employees. Atos will obviously respect all the existing employment terms of the employees of Gemalto,” Atos says.   “Regarding Gemalto’s clients, Atos believes the combination will greatly enhance the breadth and depth of existing commercial relationships,” the statement continues.   Atos delivered the proposal to Gemalto on November 27. It is valid until December 15, 2017.   A statement from Gemalto says that it would carefully review the Proposal and respond to it before the deadline.   “The board of the Company will continue its process of reviewing and considering the Proposal together with its financial and legal advisors in accordance with its fiduciary duties to determine the best course of action in the interest of the Company, its business, employees, shareholders and other stakeholders,” Gemalto says.

“There is no certainty that the Proposal will lead to a recommended firm offer for the Company.”   “No agreement has been reached and there can be no assurances that any transaction will result from this proposal. Any offer will be made only by means of an offer memorandum, approved by the AFM. Atos will make further announcements if and when appropriate,” Atos adds.

Gemalto will make further announcements after the Proposal review has been completed.

Adobe & Software AG transform customer experience management
Adobe and Software AG have announced a partnership that will help businesses transform their customer experience management.
Zoom Phone beta announced for local customers
Zoom is bringing its full Phone solution to Australia in July, but has launched a beta for us to try now.
Interview: Understanding the difference between analytics and AI
"Artificial intelligence is defined as a computer making choices a human would normally make, however, that could mean a lot of things."
General staff don’t get tech jargon - expert says time to ditch it
There's a serious gap between IT pros and general staff, and this expert says it's on the people in IT to bridge it.
Flying high: How airline Scoot enhances the customer experience
Singapore Airlines’ low-cost arm Scoot has selected Dell Boomi’s platform help it better understand its customers – and its own business.
Schneider shares advice for solving edge computing challenges
Schneider Electric has shared the findings of a new whitepaper that delves into the issues of deploying IT at the edge.
DimData: Fear finally setting in amongst vulnerable orgs
New data ranking the ‘cybermaturity’ of organisations reveals the most commonly targeted sectors are also the most prepared to deal with the ever-evolving threat landscape.
Seven Aussie projects shortlisted in IDC's Smart Cities Awards
The nominated projects include three from Newcastle alone and span smart water metering, solar farms, virtualization and transport.