Atos Suffers Stock Market Drop As Airbus Backs Out of Plans to Acquire Minority Stake in Evidian

Atos, a digital services company based in France, has suffered a significant drop in stock market value following a decision by Airbus to abandon its plans to acquire a minority stake in Evidian, a cybersecurity subsidiary of Atos.

What Happened?

Atos had been in talks with Airbus for several months about the possibility of the aviation giant acquiring a minority stake in Evidian. However, on May 6th, Airbus announced that it had decided not to proceed with the acquisition due to, “strategic reasons.” Atos’ stock took a hit as a result, dropping by over 5% in the immediate aftermath.

What Is Atos?

Atos is a multinational digital services company that specializes in providing advisory services, systems integration, managed services, and BPO (Business Process Outsourcing) to clients across a range of industries. The company is headquartered in Bezons, France, and has a global presence in over 70 countries.

Who Are Evidian?

Evidian is a subsidiary of Atos that specializes in providing cybersecurity solutions to businesses and organizations. The company’s services range from identity and access management to enterprise single sign-on. Evidian has been a part of Atos since 2017 when it was acquired from Groupe Bull.

What Does This Mean for Atos?

The decision by Airbus not to proceed with the acquisition of a minority stake in Evidian is undoubtedly a blow for Atos. The company had been looking to strengthen Evidian’s position in the cybersecurity market and increase its overall revenue. The drop in stock value will likely be a concern for shareholders, but it remains to be seen what impact the decision will have on Atos’ long-term plans.

Has This Happened Before?

This is not the first time that Atos has suffered a negative impact on its stock market value due to a failed acquisition. In 2018, the company’s stock dropped by over 8% following news that it had abandoned its plans to acquire US-based IT services firm, Syntel.

The Takeaway

Atos has suffered a significant drop in stock market value following a decision by Airbus to abandon its plans to acquire a minority stake in Evidian. This news will likely be a concern for shareholders, but it remains to be seen what impact the decision will have on Atos’ long-term plans.

Hashtags: #Atos #Airbus #Evidian #cybersecurity #stockmarket

Summary: Atos has suffered a significant drop in stock market value following a decision by Airbus to abandon its plans to acquire a minority stake in Evidian, a cybersecurity subsidiary of Atos. This news comes as a blow for Atos, who had been looking to strengthen Evidian’s position in the cybersecurity market and increase its overall revenue. However, it remains to be seen what impact the decision will have on Atos’ long-term plans. #NEWS