FRANCE: Pardus pushes for Valeo board representation
New York based investment fund Pardus will today launch a fresh drive to try to force Valeo to change its strategy and give it a seat on the board according to a Les Echos report.
In a new letter to the board of Valeo, Karim Samii, Pardus chief executive, will demand board representation at Valeo and a meeting to study strategic proposals designed to enhance profitability.
The approach is part of an effort by Pardus, which owns 20% of Valeo and 17% of Visteon, to push Valeo into participating in global consolidation of the automotive parts industry.
The report noted that since Pardus began stakebuilding in Valeo at the beginning of the year, Valeo's management has rebuffed every approach by Pardus.
In an interview, Mr Samii denied any plan to force Valeo and Visteon into a merger but said he would be happy to help any such consolidation if desired.
Pardus believes Valeo should pursue a dual strategy, said Mr Samii. It should sell businesses in which it is not a leader, and focus on markets where it can become a global champion.