Lagardère is taking legal action against Vivendi and Groupe Canal+ for the restitution of €1.6 billion in cash to Canal+ France

Category

Corporate & other activities, Finance

Paris, February 13, 2013

In its capacity as a Canal+ France shareholder1, Lagardère has summoned Vivendi and Groupe Canal+ (hereinafter “the Vivendi group”) to appear in the Paris commercial court on March 21, 2013, for the purposes of obtaining a restitution from the Vivendi group to Canal+ France of its cash, which amounted to close to €1.6 billion on November 30, 2012.

Lagardère believes that the Vivendi group is making permanent use of Canal+ France’s entire cash surplus under a cash management agreement, the legality of which Lagardère contests.

Lagardère considers that the use made by the Vivendi group of this cash management agreement has caused significant harm to Canal+ France, since it:

(i) receives a very low interest, which does not take into account either the amounts at stake or the permanent nature of its use by the Vivendi group;

(ii) is providing low-cost funding for the goals pursued by the Vivendi group’s wholly-owned subsidiaries;

(iii) is exposed to financial risks that are not justified given the absence of any guarantee protecting Canal+ France.

Lagardère believes that this action is necessary to defend Canal+ France’s corporate interests.

Lastly, Lagardère regrets that this situation, which was created by the Vivendi group, has caused a deadlock preventing Canal+ France, as things stand, from going ahead with an IPO in normal conditions.

1Lagardère owns a 20% stake in Canal+ France. 

Press Contacts

Thierry FUNCK-BRENTANO - tel. +33 (1) 40 69 16 34 - tfb@lagardere.fr

Ramzi KHIROUN - tel. +33 (1) 40 69 16 33 - rk@lagardere.fr

Anthony MELLOR - tel. +33 (1) 40 69 18 02 - amellor@lagardere.fr

Lagardère is a world-class pure-play media group (Book and e-Publishing; Press, Audiovisual, Digital and Advertising Sales Brokerage; Travel Retail and Distribution; Sport Industry and Entertainment).
With a holding of around 7.5%, Lagardère jointly controls EADS.
Lagardère shares are listed on Euronext Paris.

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