The battle for control of the French group Casino Guichard-Perrachon, active in large-scale retail trade, is in full swing.
The supermarket operator, currently saddled with debt, has received offers from Czech billionaire Daniel Kretinsky and a trio of investors led by telecommunications magnate Xavier Niel.
Kretinsky, a former shareholder in the supermarket, is partnering with Marc Ladreit de Lacharrière’s Fimalac on a €1.35 billion cash proposal, plus debt conversion, for a €1.8 billion capital increase. The trio led by Niel, the banker Matthieu Pigasse and the retail entrepreneur Moez-Alexandre Zouari, have offered 900 million euros, as well as the support of a group of secured creditors of Casino.
The restructuring will result in the end of President Jean-Charles Naouri’s control of the Casino. The company has warned that shareholders will be “massively diluted” and that the plan includes a focus on smaller premium supermarkets in the city centers of Paris and Lyon and on the Cote d’Azur, while retaining operations of large supermarkets in France and selling off non-essential businesses such as business in Latin America.
The proposals will be analyzed and presented on Tuesday to an ad hoc committee of the Casino board, and subsequently to the creditors.