PARIS, May 28 (Reuters) - France’s largest telecom group Orange said on Thursday it would support a bid from technology services group Atos to buy rival Bull , in which it owns 8 percent.
Led by Chief Executive Thierry Breton, Atos has offered to buy Bull for 4.90 euros per share, valuing the target at 620 million euros, to strengthen its position in the fast-growing cloud computing services sector.
“After examination of the offer ... Orange supports the friendly takeover presented to the board of Bull and has decided to submit the entirety of its shares to the transaction,” said Orange in a statement.
Bull’s main shareholders, Crescendo Industries and Pothar Investments, with some 24.2 percent, have already committed to tender their shares.
Atos shares rose 2.2 percent at 14:39 GMT, while Bull fell 0.2 percent. Orange shares were largely flat. (Reporting by Leila Abboud, editing by David Evans)