The Limited Times

Now you can see non-English news...

Casino: the safeguard plan validated by the commercial court

2024-02-26T16:33:03.430Z

Highlights: The Paris commercial court approved this Monday the draft accelerated safeguard plan for Casino. The distributor signed an agreement in July providing for the restructuring of its debt and a change of shareholding by March/April 2. In exchange for this massive reduction in debt, the buyers will take the reins of Casino and significantly reduce the number of stores. In France, 288 large stores, super and hypermarkets, will pass into the hands of Intermarché, Auchan, and Carrefour in three successive waves.


The distributor signed an agreement in July providing for the restructuring of its debt and a change of shareholding by March/April 2


The reconstruction of Casino is coming to fruition.

The Paris commercial court approved this Monday the draft accelerated safeguard plan for the distributor, which has been in serious financial difficulties for several months, despite the unfavorable opinion of the Public Prosecutor's Office.

A profound restructuring

This plan provides for a profound restructuring.

It must come under the control, by March/April, of billionaires Daniel Kretinsky and Marc Ladreit de Lacharrière, backed by the Attestor investment fund.

It is this “consortium” of buyers which allows the rescue of a group adrift, by providing a large part (925 million euros) of the new money (1.2 billion euros) intended to be used to meet deadlines and relaunch activity, in exchange for a very significant reduction in debt.

In exchange for this massive reduction in debt, the buyers will take the reins of Casino and significantly reduce the number of stores.

Also read: What brand will your Casino supermarket go under?

In France, 288 large stores, super and hypermarkets, will pass into the hands of Intermarché, Auchan, and Carrefour in three successive waves, on April 30, May 31 and July 1.

Thus, more than 12,800 people are affected by a transfer of stores, out of the 50,000 that the Casino group still had in France at the end of 2022 under its various brands (including Monoprix and Franprix).

Unfavorable opinions

A first hearing at the commercial court took place on February 5 but, at the request of the unions, the debates were postponed for a week to try to remedy the absence of a “social component” in the safeguard plan. .

Employee representatives fear 5,000 to 6,000 job losses as a result of the sharp reduction in the number of stores.

For this reason, the Central Social Economic Committee (CSEC) and its lawyers issued an unfavorable opinion on this rescue plan, regretting the inadequacy of its social component.

The public prosecutor also issued an unfavorable opinion on the safeguard plan, regretting in particular “too great a disparity between the plan initially presented” and the one on which the court must rule, as well as “the completely incomplete content of the social aspect”.

Once the plan has been approved, the various capital increases must take place in March and a general meeting of new shareholders must immediately decide on the new composition of the board of directors.

Source: leparis

All business articles on 2024-02-26

You may like

Business 2024-02-28T08:24:05.495Z

Trends 24h

Latest

© Communities 2019 - Privacy

The information on this site is from external sources that are not under our control.
The inclusion of any links does not necessarily imply a recommendation or endorse the views expressed within them.