(With Saint-Gobain statement, analyst commentary)
PARIS, May 11 (Reuters) – Saint-Gobain reaffirmed the relevance of its strategy on Wednesday while ensuring that it listens to its shareholders, after the Financial Times article according to which the activist investment fund Bluebell Capital asked to the group a reorganization of its activities and the replacement of its president by denouncing disappointing performances.
According to the Financial Times, which says it has had access to correspondence between Bluebell and Saint-Gobain executives since December, Bluebell is asking Saint-Gobain to split up, list on the stock exchange or sell its distribution activities in order to concentrate on building materials.
Bluebell also wants to replace the chairman of the board of directors, Pierre-André de Chalendar, ex-CEO of the group, with an independent director at the general meeting of shareholders in June, adds the British business daily.
“We are committed to the input and perspectives we receive from investors and to constructive dialogue with them,” Saint-Gobain responded in a written statement sent to Reuters.
“We continue to implement our strategy of profitable growth and long-term shareholder value creation, as set out during our last day dedicated to capital markets, which capitalizes on a profound transformation of the group”, a- he added.
The success of this strategy, he continues, was illustrated in the 2021 results by “record performances in terms of organic growth, margin increase and return on capital employed”.
The group’s statement does not specifically address the governance issue raised by the Financial Times article.
Saint-Gobain announced in March its intention to renew the mandate of Pierre-André de Chalendar until 2024 “as part of the transition with Benoît Bazin”, appointed CEO last July.
On the stock market, the action of the number one French construction materials company gained 1.97% to 52.92 euros at the end of the morning, while the flagship index of the Paris Stock Exchange rose by 1.79%.
“The exchanges between Bluebell and the management of Saint-Gobain could wake up the sleeping beauty”, believe analysts at Oddo BHF in a note on the title, adding that “if Bluebell’s entry into the arena is unexpected, its proposals are not a surprise”.
They thus recall that several other groups in the sector, such as the Irish CRH, have already sold their distribution activities in Europe.
Bluebell Capital has made itself known in particular by questioning the management of the French food and beverage group Danone and the mining giant Glencore in recent months, either to request a split in certain activities, or to demand the replacement of one or more leaders.
(Written by Camille Raynaud and Marc Angrand, with contributions from Dagmarah Mackos, editing by Kate Entringer)