DXC Technology

DXC Technology and Atos confirm acquisition bid

11 January 2021 | Abigail Opiah

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DXC Technology (NYSE: DXC) confirmed that it received an unsolicited, preliminary and non-binding proposal from Atos SE Wednesday night to acquire all DXC Technology shares.

Reuters, who were first to report the deal, said the proposal was for the value of more than $10 billion, according to its sources.

The company said that the DXC Technology board of directors will be evaluating the proposal, and made it clear that prior to receiving the proposal on Wednesday night, DXC Technology had no knowledge of any such interest from Atos. 

“We remain focused on delivering for our customers, people and shareholders as we execute our transformation journey,” said DXC Technology in a written statement.

Last week, shares of DXC Technology increased by as much as 12% after the company confirmed that it had received an unsolicited takeover offer from the French multinational IT consulting company.

Atos confirmed that it had approached DXC Technology concerning a “potential friendly transaction” between the two groups in order to create a Digital Services Leader benefitting from global scale, talent and innovation.

“In assessing this opportunity, Atos will apply the financial discipline which it has always followed in its acquisition strategy,” Atos added.

“There can be no certainty at this stage that this approach will result in any agreement or transaction. Further announcement will be made when appropriate.”

Created by the merger of CSC and the Enterprise Services business of Hewlett Packard Enterprise, DXC Technology helps global companies run their mission-critical systems and operations while modernising IT and optimising data architectures.

The company boasts having around $20 billion in annual revenues and nearly 6,000 customers in more than 70 countries.