French media group Lagardere (MMB.FR) has gone to court against
conglomerate Vivendi SA (VIV.FR, VIVEF) over management of cash
generated by pay TV company Canal + France, French daily Le Figaro
reported Wednesday.
Lagardere, which owns 20% of Canal + France, wants Vivendi,
which owns the other 80%, to return EUR1.6 billion in cash to the
pay TV unit, the newspaper said. Lagardere is asking the commercial
court to annul an agreement that allows Vivendi to manage the cash
from Canal + France.
The two companies held talks over Vivendi possibly buying
Lagardere's 20% stake in Canal + France, but they failed to agree
on price, the report said. Lagardere has criticized Vivendi's use
of the cash for other activities instead of paying dividends to
Canal + France's shareholders, it said.
Newspaper website: www.lefigaro.fr
Write to Dennis Baker at dennis.baker@dowjones.com
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