French court hears opening arguments in Bolloré/Vivendi break-up dispute

By Florence Loeve, Leo Marchandon and Gianluca Lo Nostro

(Reuters) -France's highest civilian tribunal heard arguments connected Tuesday successful a ineligible quality that could necessitate the billionaire ​Bolloré household to bargain retired number shareholders of Vivendi for respective billions of euros.

Vivendi's lawyer ‌Alain Benabent argued that the appeals tribunal had "exceeded its powers", portion Bolloré's lawyer argued that it had wrongly broadened ‌the mentation of power beyond bulk voting rights, urging the Cour de Cassation to adhere to a narrower speechmaking of French firm law.

"The Bolloré radical does not power Vivendi" helium stated, downplaying the idiosyncratic power of Vincent Bolloré.

Although Bolloré SE straight owns lone 29.9% of Vivendi, the Paris Court of Appeal ruled ⁠in April 2025 that the household exercised ‌effective power of the institution owed to their larger power implicit it, and that the treasury shares of Vivendi should beryllium counted arsenic theirs, surpassing the 30%‍ threshold.

Minority shareholder CIAM, an activistic money opposing Vivendi and Bollore, countered with calls by its ineligible counsel Patrice Spinosi for a "realistic and practical" modular for determining firm control. Spinosi urged the tribunal to much strictly scrutinise ​shareholder strategies that respect ineligible thresholds successful quality portion circumventing their effectiveness.

Bolloré's broadside is pushing the tribunal ‌to disregard the lawsuit without sending it backmost to a little court, portion CIAM warned the Cour de cassation against specified a decision.

CIAM told Reuters past week that it would escalate the lawsuit to the European Court of Human Rights if the tribunal rules against them and does not nonstop it backmost to a little court.

Bollore's representatives and Vivendi declined to remark connected the case.

France's fiscal regulator, the Autorité des Marchés ⁠Financiers (AMF), chose not to supply observations ​on the lawsuit to the court.

The court's advocator general, whose ​recommendations are influential but non-binding, advised overturning the appeals court's decision. The Cour de Cassation's ruling, expected connected Friday, could acceptable a landmark precedent ‍for firm governance successful France.

A ⁠decision against Bolloré SE could effect successful a compulsory buyout of Vivendi's number shareholders, straining the finances of the household concern arsenic it shifts absorption from logistics to media assets.

JPMorgan analysts person ⁠estimated a 35% accidental of a mandatory buyout being imposed and said Bolloré mightiness see launching a voluntary connection if the tribunal ‌rules successful its favour.

(Reporting by Leo Marchandon and Gianluca Lo Nostro successful Gdansk,‌ Florence Loeve successful Paris; Editing by Matt Scuffham)