Wednesday 01 August 2012
Barclays in the poultry business
French group Doux, Europe's top poultry and processed chicken producer will sell its majority stake to Barclays Bank in a bid to keep the company afloat, the CGT union says.
Goose cooked for French poultry firm
Speaking ahead of a key meeting with staff on Thursday, Raymond Gouiffes, union representative at the CGT, said Barclays "will take 80 per cent of capital and Doux 20 per cent".
Doux currently owns 80 per cent of the company and BNP Paribas bank 20 per cent.
Doux was put into administration in June after it failed to reach a deal with creditors.
Barclays had laid the responsibility for the move with boss Charles Doux who reportedly rejected a proposal that would have provided millions of euros in aid for the company.
He then refused to give up his majority stake.
By accepting the deal with Barclays, Doux was "backtracking back to the starting point", said Gouiffes.
The world's fifth-largest poultry exporter, with clients in 130 countries, Doux fell victim to a rise in farm input prices and increased competition that squeezed already thin profit margins and rendered massive debts unsustainable.
Doux employs 10,000 people globally including 3400 in France.
Source: Argentine Beef Packers S.A.
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