French retail giants Carrefour and Promodes, which this week
announced they were merging to create the world’s second largest retail
chain, have selected Financial Dynamics to handle their international
and UK financial PR.
Carrefour and Promodes’ friendly pounds 30 billion merger comes within
weeks of world leader Wal-Mart’s takeover of Asda and hot on the heels
of rumours that Asda was set to move into the French market. The deal is
widely expected to trigger a spate of mergers in the fragmented European
Financial Dynamics has been briefed to promote the deal among the media,
analysts and investors in Europe, the US, Asia and Latin America. It won
the work last week after a referral, on the back of its existing
International managing director Hugh Morrison will lead the account,
reporting to Daniel Bernard, chairman of the combined group. Bernard was
previously chairman of Carrefour - the larger of the two parties.
Financial Dynamics’ team will work alongside the group’s French
financial PR agency, DGM.
Carrefour and Promodes’ merger creates a group with expected worldwide
sales of pounds 36 billion spanning Asia, Latin America and continental
The new group will be dwarfed only by Wal-Mart in the world retailing
stakes. It will count almost 9,000 outlets including 680 hypermarkets -
a concept which Carrefour claims to have ’invented’. Its worldwide
payroll will count 260,000 staff.
Carrefour operates chiefly though its own brand chain, while Promodes is
an umbrella for retail brands including France’s Continent, Champion and
Both Carrefour and Promodes are part family owned: the former counts a
seven per cent family stake, while a majority of Promodes’ equity is
family controlled. Thirty-five per cent of the new giant will be
controlled by the families.