Castel Group leadership coup escalates
Following on from db’s report that French beer and wine giant The Castel Group is facing a leadership coup, Romy Castel insists that the CEO’s resignation “is the best solution”.
The Castel Group, which includes the Castel Frères wine business of 20+ estates plus beer operations across Africa, is facing a power seizure from within. As db previously reported, two members of the Castel family – Romy Castel and Romain Castel – are attempting to remove the group’s CEO, and have staged a board vote to that end.
Now, in an escalation of the unfolding dispute, Romy Castel, daughter of the company’s founder, has told Bloomberg News she and Romain are in “deep disagreement” with the way CEO Gregory Clerc is running the business, with the situation getting progressively worse since his appointment in 2023.
Attempting to take control
The pair claim that Clerc “is attempting to take control,” with Romy Castel pointing to a move by the CEO earlier this month to remove Alain Castel from two company boards (the Luxembourg-based holding company, D.F. Holding, and Singapore-based Cassiopee Pte. Ltd).
In a separate statement, Alain Castel declared: “For me and my family, it has become vital that Mr. Clerc fully appreciate the situation and realise that his resignation is the best solution”.
He added that one cause of resentment was a survey carried out by Clerc that Castel claims hurt a number of projects.
If his resignation does not come, Clerc may be ousted anyway as Romy Castel revealed she has convened an extraordinary general meeting to take place in Singapore on 8 January to seek Clerc’s removal as director.
Partner Content
Surprise hire
Clerc’s hire, as a family outsider, came as a surprise to many. A former tax lawyer to company founder Pierre Castel, now 99 years old, Clerc has helped the business owner to fight an ongoing legal case against him for tax avoidance. In July 2023, a Swiss federal court ruled that Castel had dodged millions of euros worth of taxes as a resident in the country, and the group’s founder was instructed to pay a €350 million fine.
A separate tax probe by French authorities is still ongoing, according to Romy Castel.
At the time of Clerc’s appointment as CEO the company said the move had been made “to consolidate the group’s momentum, capitalising on the strengths that have made it a leader on the African continent and a major player in the beverage, wine and food industries.”
In an official statement The Castel Group added: “Backed by the support of founder Pierre Castel and his entire family, as well as his experience as a director and advisor to the Group, Gregory Clerc will implement the strategic direction and continue the reforms initiated by his predecessor, Gil Martignac.”
While Clerc has publicly acknowledged a “troubled” undercurrent at the company, he insists he has the board’s “full support”.
Wine interests
As well as selling beer in more than 20 African countries through a number of subsidiaries, The Castel Group also has a significant wine business.
Castel Frères, the wine arm of the Castel Group, owns numerous Bordeaux estates, including Château d’Arcins, Château Barreyres, Château Cavalier, Château Ferrande and Château Latour Camblanes, plus Château Beychevelle, which it co-owns with Japanese drinks company Suntory. It also has Provence-based Domaine de la Clapière (Languedoc) and Château Cavalier under its wing.
Related news
For the twelfth day of Christmas...
Zuccardi Valle de Uco: textured, unique and revolutionary wines
