Following a period of exclusive negotiations, the Lagardère group and Butler Capital Partners announce the signature of a final agreement with a view to Butler Capital Partners taking a majority stake in the Virgin group.
The deal is subject to regulatory and legal approval, which is expected to be obtained for an early-2008 completion.
The Virgin group is one of France’s leading retailers of cultural and entertainment products. With consolidated net sales of some €400 million and 1,900 employees, the group has 47 outlets in downtown and shopping mall locations, of which 35 trade as Virgin stores and 12 trade under the Furet du Nord banner. The Virgin group, which holds a perpetual license for various European territories (including France) operates around ten franchises outside France, representing net sales of approximately €100 million. It also operates VirginMega, France’s no. 2 music and video download site.
The Lagardère group is a market leader in the media sector (books, press, audiovisual, distribution of cultural and entertainment products, and sports rights). The group also has interests in the high technology sector via a 12.44% stake in EADS. Lagardère shares are listed in Paris on Eurolist by Euronext – Compartment A.