French investment holding company Wendel said 24 October 2007 it had increased its stake in French construction materials group Compagnie de Saint-Gobain SA to 11.8%. Wendel said it also holds 11.3% o…
French investment holding company Wendel said 24 October 2007 it had increased its stake in French construction materials group Compagnie de Saint-Gobain SA to 11.8%. Wendel said it also holds 11.3% of the voting rights. In September 2007, Wendel revealed it had built a 6% stake in Saint-Gobain“s capital as a long-term investment and had 5% of its voting rights. However, there has been speculation in recent weeks that Wendel would take the stake above 10%. Based on figures published in Saint-Gobain“s last annual report, Wendel will have become the largest shareholder in terms of capital and voting rights, behind Saint-Gobain“s collective employees, who control 5.9% of the stock and 10.1% of the votes. On 24 October, Wendel said it did not intend to seek control of Saint-Gobain, and that it is not acting in concert with third parties. It added that “it reserves the possibility to adapt its shareholding percentage” in Saint-Gobain. It did not elaborate on the statement. It also said it is “assessing the opportunity of being represented” on Saint-Gobain“s board of directors. “In line with its role as a professional shareholder, Wendel has engaged in a friendly and constructive dialogue with Saint-Gobain“s chief executive officer, notably with regard to (Saint-Gobain“s) strategic orientations”, Wendel said, without elaboration. In September 2007, Wendel said it took the first step into Saint-Gobain in recognition of its growth strategy. That strategy was disclosed in July 2007, when Saint-Gobain said it would proceed with acquisitions in the construction, energy and environmental markets. It will also pursue research and development as well as innovation initiatives. The company added that it will increase expansion into emerging market countries.