Qatar Holding boosts position as largest Lagardère investor

Qatar Holding, the investment arm of sovereign wealth fund the Qatar Investment Authority, increased its stake in French media conglomerate Lagardère to 12.8 per cent.

In a filing to Autorité des Marchés Financiers, the French stock exchange regulator, Qatar Holding said it could raise its stake further in Lagardère, which owns the IEC in Sports, Sportfive and World Sport Group rights agencies.

Qatar Holding also reiterated its desire to seek a place on the group’s supervisory board and target strategic partnerships that would allow for “the creation of long-term value for shareholders” of Lagardère. Qatar Holding previously set out such goals, and ruled out a takeover of Lagardère, when it upped its shareholding in the conglomerate from 7.6 per cent to 10.07 per cent just before Christmas.

As a limited partnership with shares, Lagardère’s company structure effectively protects it against a hostile takeover, but the latest shareholding acquisition means Qatar Holding has strengthened its position as the company’s largest investor.

The conglomerate’s general managing partner, Arnaud Lagardère, said in February that Qatar could become a partner of the Lagardère Unlimited sports marketing division. Earlier this month Lagardère confirmed that its sports marketing business faced a €550 million ($721 million) writedown.