Knight Vinke wants Olofsson out and Carrefour split, unions protest | RetailDetail

Knight Vinke wants Olofsson out and Carrefour split, unions protest

Lars Olofsson

American investment fund Knight Vinke has launched a personal attack on Carrefour CEO Lars Olofsson, who currently also holds the position of chairman of the board of directors. The Americans say Olofsson is responsible for the “débâcle” of the last few years and want the company to be generally split in two – to which the unions object fiercely.

Five profit warnings in one year

The Americans, representing 1.5% of all Carrefour's shares, demand Olofsson's resignation and the installation of two separate CEOs: one for Europe and one for Asia and America. In a letter in French newspaper Le Monde, Eric Vinke claims that Olofsson is “not independent enough” and that he is responsible for the terrible state the world's second largest distributor is in.

 

The French group has known some difficult times of late, including five profit warnings in one year, a number of musical chairs sessions at the top and – most important for Vinke – a 45% drop in shares since January.

Start of a complete spin-off?

The European Workers Committee has protested heavily against Vinke's proposals: they think a structure with two CEOs implies a will to break the Carrefour group in two. Representatives of all Carrefour trade unions, meeting in Bucharest, fear a split into a (stagnating) European branch and an 'emerging markets' branch might put European jobs at risk. Their opinion is that Carrefour now needs stability and a clear focus on the Planet format, the plan to revamp the decaying European hypermarkets.

Knight Vinke earlier lead a (successful) rebellion against Carrefour's plans to sell its property branch. In this battle, Vinke and the unions fought side by side. Carrefour refused to comment on this new attack on its strategies and its chairman and CEO.

 


Lars Olofsson

American investment fund Knight Vinke has launched a personal attack on Carrefour CEO Lars Olofsson, who currently also holds the position of chairman of the board of directors. The Americans say Olofsson is responsible for the “débâcle” of the last few years and want the company to be generally split in two – to which the unions object fiercely.

Five profit warnings in one year

The Americans, representing 1.5% of all Carrefour's shares, demand Olofsson's resignation and the installation of two separate CEOs: one for Europe and one for Asia and America. In a letter in French newspaper Le Monde, Eric Vinke claims that Olofsson is “not independent enough” and that he is responsible for the terrible state the world's second largest distributor is in.

 

The French group has known some difficult times of late, including five profit warnings in one year, a number of musical chairs sessions at the top and – most important for Vinke – a 45% drop in shares since January.

Start of a complete spin-off?

The European Workers Committee has protested heavily against Vinke's proposals: they think a structure with two CEOs implies a will to break the Carrefour group in two. Representatives of all Carrefour trade unions, meeting in Bucharest, fear a split into a (stagnating) European branch and an 'emerging markets' branch might put European jobs at risk. Their opinion is that Carrefour now needs stability and a clear focus on the Planet format, the plan to revamp the decaying European hypermarkets.

Knight Vinke earlier lead a (successful) rebellion against Carrefour's plans to sell its property branch. In this battle, Vinke and the unions fought side by side. Carrefour refused to comment on this new attack on its strategies and its chairman and CEO.

 


Questions or comments? Please feel free to contact the editors


Belgian FNG Group wants speedy flotation in Brussels

13/06/2018

Belgian fashion group FNG hopes it can enter the Brussels stock exchange as early as next month, in order to secure a lot of new investments for the further expansion of its Brantano chain.

Zalando lets your smartphone choose your gift

06/06/2018

Starting from October, you can literally ask your smart phone which gift it wants to pick for you. Zalando and Google are collaborating on a gift-picking chat bot for the virtual Google Assistant, which is present on all Android phones.

Brantano wants to become "as big as Zalando"

06/06/2018

While Zalando is a strong multinational player, there has to be room in Belgium for a strong local fashion web shop. Dieter Penninckx, FNG Group's CEO, thinks that his brand Brantano can claim that place.

Web boutique CarréCouture relaunches after bankruptcy

28/05/2018

Belgian luxury web shop CarréCouture has gone bankrupt after a mere year. The Van Gansewinkel family, known from the waste company and co-owner of this formula, will try to relaunch anyway.

Isabel Marant opens first Dutch store

24/05/2018

Fashion brand Isabel Marant opened its very first Dutch boutique in Amsterdam. It is located in the P.C. Hooftstraat, in a former McGregor store.

Zara opens new flagship store with holograms and robots

18/05/2018

Zara’s remodeled flagship store in Stratford (London) welcomes customers with holograms, robot arms and iPad-powered employees. The store wants to unite the best of both the online and offline shopping world.