Casino | Rallye - comment

Rallye, controlled by Foncière Euris, which in turn is controlled by Jean-Charles Naouri, holds 52% of the shares (and 64.5% of the voting shares) in Casino as a result of the fiduciary trust management (fiducie sûreté-gestion) agreement entered into on 10 July 2020 between Rallye and Equitis Gestion SAS (the trustee). Although this agreement has not been terminated yet, the creditors who benefit from the shares held in trust, F. Marc de Lacharrière (Fimalac), has the sole option, at any time, to take ownership of its shares and/or direct the trustee to sell them. The shares held by the trust account for 11.74% of the shares, and 8.15% of the voting rights. This would reduce Foncière Euris/Jean-Charles Naouri’s stake to 40.57% of the shares, but he would still control 56.34% of the votes. 

Note Fimalac are in discussions with Vesa Equity Investments, which controls 10% of the shares and 8.15% of the voting shares. Combined, they would have a 21.7% of the shares and 15.1% of the voting shares. 

Our takeaway is there is no doubt that Fimalac/Vesa Equity Investments have a seat at the table of any discussions in the Conciliation Process and although the agreement has not yet been terminated, Foncière Euris/Jean-Charles Naouri’s is starting to wane.