FRANCE. The Lagardère group is set to strategically refocus on its travel retail and publishing interests after receiving an offer from H.I.G. Capital to acquire 75% of Lagardère Sports.
This planned disposal, to the Miami-based private equity and asset management firm, is targeted to close before the first quarter of 2020. It values Lagardère Sports at approximately €110 million (US$122.6 million) and the Lagardère Sports and Entertainment division as a whole at around €150 million (US$167.2 million).
Lagardère noted that this valuation does not include the future value creation potential of the group’s residual 25% interest in Lagardère Sports, or any potential gains from a marketing rights agreement with the Confederation of African Football (CAF).
The divestment will see a “decisive step” in Lagardère’s strategy, in the concentration of all efforts and resources on developing Lagardère Publishing and Lagardère Travel Retail.
The group will hold an Investor Day in early 2020, at the time of publishing its 2019 annual results. Here, it said it will present the strategy, outlook and operating performance of the Lagardère Publishing and Lagardère Travel Retail businesses.
The Lagardère group will retain its entire interest in Lagardère Live Entertainment, the producer of music shows and live entertainment in France.
