French retailer Fnac Darty is facing a potential ownership change as Czech billionaire Daniel Kretinsky has launched a €1.1 billion takeover bid. The offer, representing a 19% premium over FridayS closing price, comes as Kretinsky-already a meaningful shareholder-continues to expand his European retail portfolio, wich includes holdings in companies like Royal Mail and german wholesaler Metro [[1]]. Fnac Darty’s board has welcomed the proposal, tho final approval hinges on independent reviews and employee consultation.
Czech billionaire Daniel Kretinsky has launched a takeover bid for French retail group Fnac Darty, sending the company’s shares soaring nearly 17% in Paris trading Monday. The move by Kretinsky, who already holds a significant stake in the retailer, signals a potential shift in ownership for the electronics and media vendor as it navigates a competitive European market.
The offer, made through newly created entity EP FR Holdco, values Fnac Darty at approximately €1.1 billion (roughly $1.2 billion USD) and proposes a price of €36 per share – a 19% premium over Friday’s closing price. EP FR Holdco is 56% owned by Kretinsky and 44% by J&T Capital Partners. The offer doesn’t have a minimum acceptance threshold beyond securing more than 50% of the company’s share capital or voting rights.
Kretinsky currently owns a 28.5% stake in Fnac Darty through VESA Equity Investment, a subsidiary of EP Group, making him the company’s largest private shareholder. Approximately 35.15% of the company’s shares are publicly traded, while Ceconomy, the owner of MediaMarkt – recently acquired by Chinese giant JD.com – holds a 21.95% stake.
Fnac Darty’s board of directors has welcomed the proposal, stating that Kretinsky has indicated no plans to alter the company’s strategic direction or replace its current leadership team, headed by CEO Enrique Martínez. The company also confirmed that Kretinsky intends to maintain the headquarters in France and the existing dividend policy. Any changes to the board composition would reflect the new ownership structure, if the offer is successful.
“The implementation of this project would provide a liquidity opportunity for shareholders who wish it,” Fnac Darty said in a statement. Kretinsky has also stated he does not intend to launch a hostile takeover or delist the company from the stock exchange.
The board’s initial reaction was positive, though a final decision will await the opinion of an independent expert and a review by the company’s works council, according to the company. “After careful examination of the proposal, the board of directors unanimously welcomed the transaction,” Fnac Darty added.
Kretinsky’s involvement with Fnac Darty builds on his existing ties to the European retail sector. In 2021, he partnered with Eroski to acquire a 50% stake in Caprabo, a Spanish supermarket chain, a deal that provided crucial financial restructuring for the Spanish distribution group.
“Since our entry into the capital in 2021, we have been able to observe the strength of Fnac Darty’s omnichannel model and the relevance of its strategic plan. With this friendly offer, we want to consolidate our commitment by becoming a long-term majority shareholder. We are committed to supporting the current management team led by Enrique Martínez and ensuring the French character of the group,” Kretinsky said in a statement released by EP Group.
The Czech magnate has been increasingly focused on French businesses in recent years. He controls a 40% stake in the distribution group Casino and, in November, announced plans to invest an additional €300 million to increase his ownership to nearly 70%. In 2023, he acquired the outsourcing business of French tech company Atos and also holds a stake in TotalEnergies. Last year, he took control of Royal Mail, the British postal operator, and GLS, a parcel delivery specialist.
Beyond Fnac Darty, Kretinsky’s retail holdings include a controlling interest in German wholesaler Metro, which operates the Makro brand in Spain.
Kretinsky, who also owns Sparta Prague, a soccer club currently competing in the Champions League, has an estimated net worth exceeding $10 billion USD, according to Bloomberg.
