Vivendi and Amber sign a pact to get 4 seats on the supervisory board of Lagardère - The Point

This is certainly a setback for Arnaud Lagardère. The two main shareholders of Lagardère, Vivendi and Amber Capital, announced on Tuesday that they have signed

Vivendi and Amber sign a pact to get 4 seats on the supervisory board of Lagardère - The Point

This is certainly a setback for Arnaud Lagardère. The two main shareholders of Lagardère, Vivendi and Amber Capital, announced on Tuesday that they have signed a pact to obtain seats on the supervisory board of the publishing group, saying to act "in the wake of very poor results" of the latter.

Vivendi and Amber go in this part to " engage with Lagardère to take steps to have each individual, supervisory board representation, minority of three members of Amber Capital, and a member for Vivendi ", according to a press release from Vivendi. The two shareholders have each increased their shares in the share capital of Lagardère in the last few months, up to hold 23.5% of the capital to Vivendi and 20 % for Amber.

Read also The warning of Vincent Bolloré Arnaud Lagardère

A previous attempt of Amber Capital

The fund is activist in uk said in a separate release act to " protect its investment and its own interests in the context of institutional instability and a significant deterioration in financial within the company ". The fund had already failed, in 2018, to elect two representatives to the supervisory board as the only body that can oppose the manager's controversial Arnaud Lagardère. Amber Capital has not ceased to repeat his desire to " seek the appointment of one or more members of the supervisory board ", and work for the transformation into a company of Lagardère, currently in the form of partnerships limited by shares, " he recalls.

The status atypical of the Lagard * re group limited by shares allows the owner and heir of the company, Arnaud Lagardère (general partner) retain the control with only approximately 7% of the shares. In return, it is indefinitely liable for the debts of the enterprise on its own assets.

The rise in the capital of Vivendi, led by Vincent Bolloré, was described in the spring by Arnaud Lagardère as a " support friendly ". The pact announced Tuesday is, therefore, a setback for Arnaud Lagardère, who had to fight to keep his place and block the arrival of Amber at the supervisory board during the last general assembly, in may last.

Read also Arnaud Lagardère wins his battle in the face of the fund Amber

the agreement between The two shareholders provides for a right of first offer and a right of reciprocal pre-emption : if Vivendi or Amber sells its units, the other will be a priority for the redeemed. Amber explains in its press release that " this covenant does not create any agreement between the parties on the strategy or the control of Lagard * re ".

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Updated Date: 11 August 2020, 04:33

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