Lagardere wants to float Canal + March 2011

Lagardère was shown on Thursday determined to see Canal + France go public by March 2011 because of disagreement on the sale of its 20% stake in Vivendi, the controlling shareholder group of pay TV.

Shaken last spring with a campaign of shareholder activist Guy Wyser-Pratte, the media group accelerates the sale of its minority, who constitute a conglomerate discount to its stock price.

Arnaud Lagardère, general partner of the group inherited from his father, was more cautious for the next big sale expected by analysts, that of its 7.5% remaining in the group of aerospace and defense group EADS.

During the presentation of interim results of his group, Arnaud Lagardere seemed more eager than ever to clean up these minority, among which 25% of Amaury, the owner of Parisien and L'Equipe, and 42% of media group Marie Claire.

He particularly stressed his determination to introduce Canal + France in stock while analysts saw it as far a new negotiating tactics of Lagardère, began several months in a poker game with Vivendi, which owns the remaining 80%.

"We go through the process (…), we will not turn on the road," he said during a conference call during the half year results.

GO QUICKLY TO CANAL +

Arnaud Lagardere wants to move quickly to avoid being caught by the tender provided during 2011 for the rights of Ligue 1 for the period 2012-2016, during which an initial public offering by Canal +, the main stakeholder, would the least sensitive.

The chief financial officer Dominic D'Hinnin, responsible for leading the operation, said that if it was not buckled before the end of the year, should wait until March because investors would know the results of Canal + in 2010 before committing.

Lagardère values in its accounts its 20% interest in Canal + France to 1.5 billion euros, or the proportional value of sales options exercised this year by TF1 and M6, which together held 15% of Canal + France.

Analysts doubt that Lagardère, which has no option, can achieve such a valuation at an IPO.

Under a shareholders agreement forged in 2007 when the merger between CanalSat and TPS, without an agreement between two parties on the price of participation, Lagardere could sell its shares on the market.

The Figaro had been reported that Vivendi had refused an offer of 1.35 billion euros Lagardère. Neither group had reviewed the information.

Vivendi has not made any proposal when we gave them (our) money.Their response was: we prefer to keep our money and invest in telecoms, "said Dominic D'Hinnin.

MORE TIME TO LEAVE OF EADS

Regarding EADS, the equation is more complicated. The action has returned 27% since the beginning of the year to close at 17.95 euros on Thursday, but still low and many analysts are convinced that Lagardere will not sell to under 20 euros.

Arnaud Lagardere also said he wanted to first ensure that the program of the future Airbus A350 was well underway before leaving the group's capital.

"There may be delays, or maybe not, we know nothing," he explained."But to be in position to sell those shares in EADS, we want to be 100% comfortable with the development of this aircraft, which means a little more time."

He added that he had the green light from the French government to withdraw and that the issue of the French-German balance in the capital of EADS was not within its jurisdiction.

"I do not expect sales at the end of this year, but if we have an opportunity, it is clear that we will seize this opportunity," he added.

Arnaud Lagardere also said that his discussions with Marie-Odile Amaury, which owns the namesake newspaper group, for a withdrawal had not been completed, while hoping to achieve in 2011, see this year.

He argued that a sale of the Parisien and Aujourd'hui en France, refocusing the group on the organization of sporting events and L'Equipe, increase conflicts of interest with Lagardere, also present in this area Marie-Odile Amaury placed in an "awkward position".

"It is important that we sell," he said. "We're trapped in a company we have no control and which we do not draw virtually no dividend".

August 26th, 2010 in business success, different, facts, networks, occupation | tags: , , , ,