The makeover that is shaking up the palaces of the Republic – with a 46-year-old president and a 34-year-old prime minister – has hardly affected big businesses. “The average age of CAC 40 executive bosses reaches 58.1 years. The youngest is Aditya Mittal, CEO of ArcelorMittal, 48, and the eldest is Bernard Arnault, CEO of LVMH, who is approaching 75.specifies Olivia Flahault, co-founder of OFG, a firm specializing in the analysis and evaluation of the governance of listed companies.
The luxury group is characterized by the highest average age in the CAC 40, both in its executive committee and its board of directors (including censors). While Vivendi presents the youngest “board”, with, around the table, notably the new generation of Bolloré, including Yannick, 43 years old, youngest president of the flagship index.
The rejuvenation of the governing bodies constitutes one of the important challenges of the general meetings which will be held in the coming months. “Among the forty-eight presidents and vice-presidents [du SBF 120, un indice boursier qui regroupe 120 grandes entreprises françaises] whose mandate expires in 2024, nineteen of them, or 40%, are over 70 years old”, points out a study, published Friday January 19, by OFG. Thus, some emblematic business figures have not yet made it known whether or not they wish to play extensions.
Statutes amended to circumvent the age limit
In the coming weeks, the resolutions published in Bulletin of legal notices (BALO) should lift the veil on the intentions of the builder and president of Sopra Steria, Pierre Pasquier, 88 years old, whose mandate expires in 2024. Unless the statutes are changed, he will have to leave the presidency of the family group in August 2024, at his 89th birthday, but he can still remain an administrator.
For his part, Daniel Julien, 71, the CEO of Teleperformance, the world leader in call centers, had promoted the Indian Bhupender Singh, deputy general manager, in recent months. This suggested a dissociation of functions, allowing the right-hand man to take over general management, which could occur as early as 2024: unless the recent takeover of Luxembourg’s Majorel gives the founder the opportunity to return as CEO, in order to ensure the integration of this competitor.
Large companies regularly amend their statutes to retain a manager who has reached the age limit. At Safran, if the general director, Philippe Petitcolin, had once hoped to get back on track thanks to such a change, he had to give up control in January 2021 to Olivier Andriès. This modification of the statutes will eventually happen, but at Alstom, during the next general meeting, in order to welcome the 71-year-old industrialist as president, called for help by the major shareholders of the railway equipment manufacturer.
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