What role will Danone’s honorary president play? Shareholders are invited to express themselves on the subject, during the general meeting of the agri-food group, Tuesday, April 26. Indeed, a resolution attempting to limit the function was added at the request of the management company Phitrust, associated with five other shareholders, representing together 0.8% of the company’s capital. These investors ask that the honorary president “be invited on an exceptional and motivated basis for all or part of the Board of Directors”, and not systematically invited to attend Board meetings, as was customary until then. An attack that directly targets Franck Riboud.
The man, who led this jewel of the CAC 40 for twenty years – succeeding his father, Antoine Riboud (1918-2002), founder of Danone – and sat on its board for twenty-eight, has come to the end of his directorship. However, following the governance crisis that shook the group and led to the ousting of CEO Emmanuel Faber in March 2021, the functions of chairman and chief executive were split.
The shareholders will decide
The new chairman, Gilles Schnepp, decided, upon his arrival, to completely renew the board of directors by 2023. The terms of office expiring in April 2022, such as that of Mr. Riboud, will therefore not be renewed. Even if the latter will no longer weigh on the destiny of Danone, no longer having the right to vote on the board, he retains the title of honorary chairman, conferred on him by Mr. Faber, when he succeeded him as as CEO in 2017.
Does the attack on Phitrust, which had supported Mr. Faber before his fall, mark the final episode of the soap opera of the battle for governance? Danone’s counsel, arguing “lack of motivation for the request”, said not to approve it. The shareholders will decide. They will also have to vote for the appointment as administrator of the new general manager, Antoine de Saint-Affrique, and on the decline in the age limit of the president, from 65 to 70 years old. Mr. Schnepp is 63 years old.