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Saint-Gobain grants three board seats to investment group

Post Time:Nov 12,2013Classify:Industry NewsView:45

The private French investment group Wendel gained three seats on the board of Saint-Gobain, also of France, despite resistance from the glass making giant, according to a March 21 article from the Times Online. Last summer, Wendel began to build up its holdings in Saint-Gobain and currently has an 18 percent stake. The equity firm is now the largest shareholder. Wendel officials agreed to limit their holdings to 21.5 percent in exchange for the board seats, according to the article. Wendel has a history of gaining investment power in companies in order to spur change, including its recent investment in electrical equipment manufacturer Legrand of the United Kingdom, according to the Times Online article. In a March 18 Bloomberg article, financial analysts said the deal could help Saint-Gobain rebound from a slowdown caused by the weak U.S. building market. The glassmaker’s shares have dropped 31 percent since Wendel began purchasing shares, according to the article. Shares increased 5.3 percent for Saint-Gobain after the deal with Wendel was announced last week, according to the article. Read the conditions of the agreement from a March 20 Saint-Gobain releases here.

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Source: http://www.glassmagazine.com/news-item/commercial/saint-gobain-grants-three-board-seats-investment-groupAuthor:

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