Key investor wants Brazil's GPA to elect new board of directors
SAO PAULO, March 30 (Reuters) - Saint German, an investment fund controlled by Brazilian investor Nelson Tanure, requested on Sunday that retail chain Grupo Pao de Açucar (PCAR3.SA), opens new tab, in which the fund owns around 9% of shares, convene an extraordinary general meeting to remove the current board of directors and elect new members appointed by Tanure.
The plan involves establishing a nine-member board with a unified two-year mandate, including three representatives appointed by Tanure, according to an official filing.
Last year, Tanure acquired enough GPA shares on the market to become its second biggest individual shareholder. He was also considering purchasing additional securities from French group Casino, GPA's biggest shareholder with a 22.5% stake.
An initial expression of interest by Tanure's representatives was then conveyed to Casino, which in the past controlled GPA. But so far no agreement has been announced.
In a statement to Reuters, Tanure, who is known for investing in companies facing restructuring processes, said he wants to reduce GPA's indebtedness through several strategies, including selling non-core assets, evaluating and prioritizing investments, and optimizing its cash flow. GPA's net debt stood at 1.3 billion reais ($230 million) in the final quarter of 2024.
"Focusing on a solid balance sheet will allow the company to have more flexibility in its operations and greater growth capacity," he said in the statement.
Tanure is also proposing the group works to identify potential fiscal, legal and labor risks at GPA. "The idea is not only mitigating risks, but creating an environment of transparency and trust with shareholders and the market," he said.
Tanure plans to nominate Pedro de Moraes Borba, Rodrigo Tostes Solon de Pontes, and Sebastian Dario Los to the retailer's new board. Both Borba and Pontes are high-ranked executives at companies in which Tanure has a stake, while Dario Los has extensive experience working in the retail sector.
According to GPA's website, the retail chain operates about 700 stores, primarily in the state of Sao Paulo, in addition to e-commerce services.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Glasgow Times
an hour ago
- Glasgow Times
Eberechi Eze ‘trusting it will work out' over Crystal Palace's European hopes
Palace qualified for Europe for the first time in their history by winning the FA Cup last month, but their place is under threat because of UEFA rules surround multi-club ownership. John Textor holds a 43 per cent stake in Palace through his company Eagle Football and he is also the owner of French club Lyon, who qualified for the Europa League with a sixth-placed finish in Ligue 1. A decision is expected soon and Eze, who is with England for their World Cup qualifier against Andorra and friendly with Senegal, is optimistic. 'I really hope that Palace do get the reward because of what it took to actually achieve that,' Eze told reporters. 'It would be a huge shame if that was not the case but I'm trusting that it will work out in the end. 'It should work itself out because there's players who have worked to be in this position. 'There are fans who have been with the team throughout the whole season and experienced everything.' Meanwhile, Trevoh Chalobah is backing Thomas Tuchel to bring a 'winning culture' to England. A week to remember for @TrevohChalobah ❤️ — England (@England) June 3, 2025 The 25-year-old defender has received his maiden call-up for Tuchel's squad, which is another slice of recognition by the German. Chalobah said: 'He's the one who gave me my Chelsea debut. 'It's been good moments shared with him. He's a very tough manager. And I think that's what us players need going into the World Cup next year, and obviously in these games, just to build us up. 'He's a very good coach. He wants to win. He's a winner, you know? And he's seen that Chelsea, he's won, and he wants to bring that same winning culture here.'
Reuters
2 hours ago
- Reuters
ECB cuts inflation, growth projections
FRANKFURT, June 5 (Reuters) - The European Central Bank cut some of its growth and inflation projections on Thursday as the fallout from a global trade war is likely to prove a drag for the 20-nation euro zone. Inflation is now seen falling further below the ECB's 2% target next year as lower energy costs, a stronger euro and weak economic growth all weigh on prices. Price growth will then rebound in the following year and come back to target, the ECB predicted. A muted outlook for both economic growth and inflation is why the ECB cut interest rates again on Thursday, lowering the deposit rate by a combined 2 percentage points since last June. That may not be enough, however. Markets see between one and two more rate cuts this year as growth remains anaemic and there is no meaningful rebound on the horizon. The following are the ECB's projections for inflation and economic growth. Previous projections from March are in brackets. GDP Growth: 0.9 (0.9%) 1.1 (1.2%) 1.3% (1.3%) Inflation: 2.0 (2.3%) 1.6 (1.9%) 2.0% (2.0%)
Reuters
2 hours ago
- Reuters
ECB governors see July pause but Sept up in the air
FRANKFURT, June 5 (Reuters) - A clear majority of European Central Bank policymakers meeting on Thursday expressed a preference for holding interest rates steady next month and a few even made the case for an even longer pause, four sources told Reuters. The ECB cut interest rates for the eighth time in a year on Thursday but hinted at a pause in its year-long easing cycle after inflation finally returned to its 2% target. ECB policymakers did not explicitly discuss their July decision but their deliberations revealed a clear preference for no change then since little new information would come out in the next six weeks and interest rates were already low enough to support the economy, the sources said. An ECB spokesperson declined to comment. While some policymakers argued for a longer pause, most preferred not to discuss meetings beyond July, arguing that new economic projections in September would be crucial. Some also argued that any meaningful fall in inflation below 2% in the coming months could justify a further cut in borrowing costs. All policymakers apart from Austrian governor Robert Holzmann backed Thursday's rate cut.
