A damning report released at the end of 2015 by famed New York short-seller Muddy Waters accused Groupe Casino of falsely inflating its EBITDA partially through transactions with its real-estate affiliate Mercialys. As its shares reacted negatively to the report, the Company swiftly reacted by denying the allegations levelled against it and announced a long-term de-leveraging strategy (with a planned €2 billion debt reduction) coupled with an international diversification plan in the food sector (ex: consolidation of its South American subsidiaries; sale of its South East Asia subsidiary). The most recent iteration of this strategy is Groupe Casino’s planned global partnership with Auchan.
Despite the purported de-leveraging strategy, debt levels in 2017 soared by 23% finishing the year at €4,126M. Making matters worse is a 3.8% decline in the top-line recorded for Q1 2018. The increased debt burden will surely put strain on an already stretched balance sheet and call into question the reason behind the company’s systematic reduction in capital expenditures if it were to maintain what we perceive to be an elevated dividend (€346M in 2017). Further clarity regarding this plan would be much appreciated.
As far as regulated agreements are concerned, Groupe Casino continues to submit both new agreements as well older agreements to a vote in the same resolution. This is clearly counter to the spirit and letter of the law which calls for a separate vote on each agreement (resolution 4).
In closing, we urge shareholders to oppose the remuneration attributed to Jean-Charles Naouri, Charmain & CEO, in 2017 as well as his remuneration policy for 2018. As has historically been the case with Groupe Casino, quantum appears relatively low on a cursory look, but further analysis reveals that it fails to include the remuneration Mr. Naouri indirectly received from regulated agreements between the Company and holding companies that he controls (resolutions 5 and 6).
Casino Guichard-Perrachon is a food retailer based in France. Co. operates hypermarkets, supermarkets, discount stores, convenience stores and cafeterias. Co.'s stores are discount stores selling groceries and consumer goods, and providing services like financial and insurance services, real estate, and restaurants. Co. operates hypermarkets under the brand Geant Casino; urban and rural supermarkets under the brand Casino Supermarches; city-centre supermarkets under the brand Monoprix; convenience/national superettes under the brands Petit Casino, Vival and Spar; covenience-paris area stores under the brand Marche Franprix; and discount stores under the brand Leader Price.
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Casino Group reported fourth-quarter and fiscal 2018 sales, with full-year group sales up 3.0% on a same-store basis and 4.7% organic growth (3.6% and 5.1%, respectively, for the quarter), in line with our expectations. Given this mostly in-line print, we maintain our no-moat rating and EUR 32 fair value estimate. On the call, management reiterated full-year guidance despite a negative impact from the yellow vest movement during the quarter (10% group EBIT growth at constant currency and excluding tax credits, French EBIT growth of 10%, among others). French sales were up 1.3% (0.5% for the q...
Casino Group reported fourth-quarter and fiscal 2018 sales, with full-year group sales up 3.0% on a same-store basis and 4.7% organic growth (3.6% and 5.1%, respectively, for the quarter), in line with our expectations. Given this mostly in-line print, we maintain our no-moat rating and EUR 32 fair value estimate. On the call, management reiterated full-year guidance despite a negative impact from the yellow vest movement during the quarter (10% group EBIT growth at constant currency and excludi...
Item 1: Approve the share consolidation The Board requests shareholder approval to implement a share consolidation on the basis of 19 new ordinary shares for every 20 existing ordinary shares held. The consolidation is intended to maintain comparability, as far as possible, of the Company’s share price before and after the payment of a special dividend of $2.621 per share. The special dividend is equivalent to 5% of the market capitalisation of the Company as at 14 December 2018. The Company has implemented a series of share consolidations, returning funds to shareholders in this way in 2012...
Item 1: Approve Share Buybacks Shareholder approval is being sought to authorise the Company to make market purchases of its ordinary shares following the inclusion of a typographical error in the resolution granting authority at the 2018 AGM. This error meant that the authority granted at that meeting has already expired. As there is currently no authority in place, the Board proposes the standard share repurchase authority for the UK market with period ending until the earlier of 25 October 2019 (being the later date set out in in the resolution granting authority at the 2018 AGM) and the ...
Suite à la finalisation de l'OPA qu'il a lancé en novembre 2017, Schneider Electric devient actionnaire majoritaire d'IGE+XAO, avec 70,89% du capital et 61,86% des droits de vote. Par ailleurs, le Conseil d'Administration fait lui l'objet de quelques changements notamment suite au départ de 3 administrateurs au profit de 4 nouveaux administrateurs occupant des postes au sein de Schneider Electric.
La Société soumet à l’approbation des actionnaires, comme l’impose la Loi Sapin 2, la politique de rémunération des mandataires sociaux dirigeants. Bien que la Société communique les éléments de la rémunération du Président-Directeur Général (à l'exception des montants) pour le nouvel exercice et la rémunération attribuée au titre de l’exercice 2017, aucune information relative à celle du Directeur Général, soumise à l’approbation n’est pour autant communiquée (résolutions 7 à 9). Proxinvest ne soutiendra pas les résolutions relatives aux augmentations de capital, considérant que leur maintie...
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