France's Atos to Buy Syntel for $3.57 Billion, Including Debt

(Bloomberg) -- Atos will acquire all outstanding shares of U.S. information technology company Syntel for cash consideration of $3.4 billion, or $41.00 per share.

  • Deal value including Syntel’s net debt $3.57 billion
  • Price represents a premium of 4.78% over Sytel’s closing price of $39.13 on July 20
  • Transaction was unanimously approved by Syntel board based on the unanimous recommendation of a special committee
  • Written voting agreements with Syntel shareholders, including founders, to vote in favor of the transaction represent 51% of the outstanding shares
  • Parties expect transaction to close during 2H of 2018
  • Syntel CEO Rakesh Khanna will become a member of Atos executive committee
  • Syntel expects to report revenue of $249.7m and EPS 49C for 2Q
  • Atos expects deal to be double-digit accretive to group EPS as early as 2019
  • $120 million of annual cost synergies are expected by 2021
  • Link to Statements: ATOS: Atos to acquire Syntel, Syntel enters definitive agreement to be acquired by Atos S.E.

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