Atento reaches an Accord with key stakeholders

Atento has reached an agreement with a number of significant financial stakeholders on a term sheet for a fresh funding round of at least $30 million in the near term as well as a road to a restructuring support agreement. 

The term sheet stipulates that Atento will receive an additional $79 million following the successful completion of an extensive reorganization in order to carry out its transformation strategy and fuel growth.

Atento S.A., a market leader in Latin America and one of the world’s largest providers of customer relationship management and business process outsourcing (CRM / BPO) services, has announced that negotiations with certain key stakeholders for a transaction involving the recapitalization and deleveraging of Atento’s balance sheet have advanced. This transaction will reduce the leverage on Atento’s balance sheet.

Atento and members of an ad hoc group of holders of Atento’s senior secured notes have reached a deal on the term sheet for a new interim financing of at least $30 million and an extensive restructuring of its balance sheet that will significantly reduce the group’s leverage.

Both of these initiatives are part of Atento’s plan to drastically reduce its level of debt. In accordance with the overall restructuring, the term sheet contains an additional $79 million in funding for the business. In addition, the parties aim for this procedure to result in a considerable reduction in the amount of leverage held by the Company after it is completed.

The new funding will provide sufficient capital to see the company through the implementation of an all-encompassing restructuring, and several of the parties have reached an agreement on a path to enter into a restructuring support agreement and definitive financing documents within two weeks of the completion of the term sheet. The Company is optimistic that it will be able to secure the necessary support for the financial reorganization within the upcoming weeks as it eagerly anticipates working with its various financial stakeholders. Due diligence on the customer and the grant of security interests are two of the conditions that must be met before new finance can be provided.

Atento had previously announced that the company was in the process of negotiating a complete restructuring of financed and financial debt on its balance sheet. The goal of these negotiations is to position Atento to execute on its long-term business plan and to continue focusing on providing the leading service to clients. This term sheet expands on that prior announcement. After undergoing such a restructuring, Atento will be in a better position to service its more than 400 blue chip clients located in sixteen different countries and to support worldwide operations for the more than 135,000 Atento employees located across the world.

This term sheet represents the partner’s confidence in the fundamental strength of Atento’s competitive value proposition, according to Dimitrius Oliveira, chief executive officer of Atento. In addition, he stated that this term document reflects their partners’ confidence in Atento’s competitive value proposition. While they continue to enhance the capabilities of their business operations, they remain committed to delivering excellent customer experiences by combining innovation, advanced technologies, and a human touch.