Atos to Launch Reverse Stock Split to Restore Investor Confidence
Atos will launch a reverse stock split, likely to take effect by May 1, CEO Philippe Salle said on Wednesday, as the French group seeks to restore investor confidence following the completion of a vital financial restructuring plan last year. The reverse stock split plan was nearly unanimously approved at a general meeting in January. Shares were trading down at all-time lows, around a third of a cent, after the IT company completed a 233-million-euro ($248.49 million) capital increase last year, resulting in massive shareholder dilution.
- This move is also a testament to the resilience of Atos' leadership under Philippe Salle's helm, who has navigated the company through its darkest hours and now seeks to rebuild trust with investors.
- What will be the long-term implications of this reverse stock split on Atos' governance structure, as it paves the way for increased focus on strategic acquisitions that align with the French state's interests?