CHATEAULIN, France, Aug 23 (Reuters) - Barclays is set to assume control of debt-burdened French poultry group Doux next month, a union said on Thursday, enabling the UK bank to pursue a turnaround plan for the business supported by the family that controls the company.
Barclays is expected to take an 80 percent stake in Doux, which went into court administration in early June, in exchange for forgiving debt of 140 million euros ($175 million).
The plan received implicit backing from a French court on Aug. 1.
“The transformation of Doux’s Barclays debt into 80 percent of its capital should be implemented on Sept. 10,” Raymond Gouiffes of the CGT union told Reuters following a meeting of the company’s works council.
He added that a Barclays representative had joined Doux’s management team.
A French commercial court has ordered the liquidation of Doux’s money-losing fresh poultry operations, which have attracted five bids. The court is due to review the offers on Sept. 5.