Férinel

"Here are two entrepreneurs who are also heirs; who have tremendously developed what they inherited, even though Férinel's real estate was in much better condition than Bolloré's papers; who each identified a sleeping beauty (Dior, within the Boussac empire, for Arnault, and Rivaud bank for Bolloré); who followed the advice of the same godfather in the Parisian establishment-Antoine Bernheim-to finance their rise to power; who ensured the construction of their empire through a very unusual blend of entrepreneurial aggression and ability to leverage new financial market instruments; who experienced both failures and windfalls (Gucci for Arnault and Bouygues for Bolloré); who moved into the new century without forgetting how to wield hostility (Hermès and Havas learned this to their detriment); who practiced financial engineering with incredible dexterity-Arnault increased his share of LVMH's capital from 38% to 46% in one day, crushing the Christian Dior holding, while Bolloré reached 27% in Vivendi, thanks in large part to the billions inherited from the opportune merger of the communication group with Havas; and who, finally, share the same dynastic ambition, a fierce determination to firmly establish this resolutely familial choice over time. In fact, it is the defense of family capitalism that is the cause of their joint presence in Lagardère's capital, and the potential source of a collision..."

"It is a real break, which will change the nature of the company and reverse the balance of power between Bernard Arnault and his father. It marks the abandonment of Ferret Savinel's historical activity, which will now, by contraction, be called Férinel. Change of nature? The thousand employees are now only twenty. Promotion is more financial and more lucrative than industrial construction, where one is at the mercy of one's big clients and where margins are small. One fears the weather, watches the sky, deals with the sites, rubs shoulders with the workers."

"From then on, the airwaves of local radio stations will be flooded with advertising messages extolling the charms of "Férinel, owner by the sea.""

"In 1978, only one Férinel house was built in the North. It is the model house to attack the second home market in the South. From the summer of 1979, 100 homes are marketed, 1,000 in the summer of 1980."

"The funds for the capital increase still need to be found. On one side, Alain Clarou, on the other, Antoine Bernheim, take up their pilgrim's staff. Arnault had assured Bernheim that he could put 90 million on the table, but he actually only has 40 million, from the sale of Férinel's construction activities. Crédit Lyonnais, in which Michel Lefebvre has kept excellent contacts, is ready to advance 50 million. In any case, 90 million is by far insufficient. Lazard Bank will fully engage to bring together a solid consortium."

"On December 14, two days before the government decision, Julien Charlier receives Bernard Arnault at his home on Rue de la Faisanderie. The young man is tired but still determined. He lays his cards on the table: "If you don't agree to become my advisor, I risk losing the game." Charlier is quick to seize the opportunity offered to him. By becoming Boussac's consultant, he will be able to see his competitor's cards before playing his own and he will block the path of his enemy Bidermann. He sets his conditions: a commission of 0.75% on Boussac's turnover (nearly 10 million francs) and the possibility of buying Boussac (if Arnault is a seller) 20% below the price of other offers. The boss of Férinel accepts these exceptional conditions, which he will later remember when he imposes an identical clause on his future partner, Guinness. He now holds the last trump card he was missing."

"An inter-ministerial committee meets at the Hôtel Matignon. The Prime Minister and the relevant ministers have delegated members of their cabinet. Among them are Hélène Ploix, Robert Léon for Finance, Patrice Léopold for Industry, and Alain Boublil for the Élysée. The discussion will not be long. The instruction has been given to choose the solution that avoids any new legal challenge. Therefore, the Arnault plan easily wins because it allows to immediately put an end to a case that has been dragging on for three and a half years, while the appointment of Bidermann would be equivalent to starting over: the agreements between the Willot and the boss of Férinel would have to be cancelled. At 10 pm, Hélène Ploix calls the interested parties and promises them an answer by 10 am the next day."

"His 36% stake in Financière Agache is held by Férinel, which changes its name for the first time (a practice that will become systematic to confuse matters) to Arnault and Associates SA. He then offers financiers a 49% stake in this new company."

"Arnault will therefore use the third solution, that of cascading. This involves stacking control companies on top of each other and opening their capital to minority shareholders who wish to be associated with the presumed success. These can be anonymous small investors or clearly identified external partners. He had already practiced this in 1986 when he had to pay cash for the last Willot shares. To find the 400 million francs, he sold a portion of the capital of Arnault et Associés, the former Férinel, his holding company, to Crédit Lyonnais and Duménil-Leblé. The following year, he raised funds by listing 13% of Conforama on the stock market. He brought Guinness in at 40%, then 45%, within Jacques Rober, the shell that now holds the LVMH shares. Of course, the sales are always partial. Bernard Arnault's golden rule is to always retain, under any circumstances, 51% of the capital of his companies to ensure he maintains control."

"Chassagnon. Without taking the time to go back to his own office, he rushes to a phone booth on Boulevard Saint-Germain and calls Bernard Arnault, whom he knows to be in the North. He has already talked to him about different cases (syringe factories, toy companies, and even 3 Suisses), mostly companies in difficulty because at the time bankruptcies are numerous, and he believes that Férinel has a team of capable men who can revive a failing company. But what Pierre Godé proposes that day is beyond comprehension: nothing less than... Boussac!"

"Five years for Férinel, two years for Boussac, one year for Lacroix, a few months for Céline... Bernard Arnault is going faster and faster."